Which of the Following Characterises the Classical View of the Economy

question 119

Multiple Choice

Which of the following characterises the classical view of the economy?

• A) The economy is inherently unstable.
• B) Prices and wages are not flexible.
• C) The economy will automatically self-correct to full employment.
• D) The economy needs government intervention to adjust to full employment.

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Definitions:

Automation

The shift toward converting work that was traditionally done by hand to being completed by mechanical or electronic devices.

Obsolete

Referring to a product, service, or technology that has become outdated or no longer used, often because it has been replaced by newer alternatives.

Proactive Employers

Organizations or managers who anticipate future challenges or opportunities and act in advance to address them, rather than reacting to events as they happen.

Working Conditions

Encompasses the environment in which an individual works, including aspects like safety, hours, and physical demands.