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Question
pregunta 56 (2 puntos)
the main idea of john maynard keynes was that a government could ____.
a spend its way out of a recession
b spend its way into a recession
c save its way out of a recession
d borrow its way into a recession
pregunta 57 (2 puntos)
when graphing supply and demand, any price that is below equilibrium creates a/an ____.
a shortage
b change in demand
c surplus
d incentive
Brief Explanations
- Pregunta 56: Keynesian economics argues that government deficit spending boosts aggregate demand, which can pull an economy out of a recession by stimulating production and employment.
- Pregunta 57: When market price is below equilibrium, quantity demanded exceeds quantity supplied, resulting in a shortage of the good or service.
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Pregunta 56: a. spend its way out of a recession
Pregunta 57: a. shortage