Macroeconomics Study Set 48
Quiz 17: Macroeconomics: Events and Ideas
If the Unemployment Rate Rose, a Classical Economist Would Counsel
If the unemployment rate rose, a classical economist would counsel the government to do nothing.
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The experience of the Great Depression led to the widespread acceptance of classical economics.
Keynes emphasized short-run effects of aggregate demand on aggregate output.
According to Keynes, changes in business confidence are often responsible for business cycles.
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