Keynes Believed That the Best Method for Boosting an Economy

question 55

Multiple Choice

Keynes believed that the best method for boosting an economy during a recession was to:

• A)increase money supply so that individuals would have more incentive to spend.
• B)cut government spending and increase taxes to reduce or even eliminate fiscal deficit.
• C)increase government spending and cut taxes so that consumers could spend more.
• D)cut both government spending and taxes to reduce government expenditure in the economy.
• E)increase both government spending and taxes to increase the role of government in the economy.

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Definitions:

Logistics Management

The part of supply chain management that plans, implements, and controls the efficient, effective forward and reverse flow and storage of goods, services, and related information.

Raw Materials

The basic, unprocessed inputs used in manufacturing and production processes, such as metals, wood, or oil.

Exclusive Dealing

An arrangement where a retailer or distributor is restricted by a supplier from selling products of a competitor.

Brand Loyalty

The tendency of consumers to continue buying the same brand's products or services over time, often due to satisfaction or perceived value.