Asked by
mostafa saadawy
on Oct 12, 2024Verified
Which of the following statements is true?
A) Keynesians believe that consumers are inherently unstable in consumption decisions,but that businesses are relatively stable in making investment decisions.
B) Monetarists believe in discretionary monetary policy.
C) Lowering tax rates is the main priority of Supply Side economists.
D) Rational expectationists argue that businesses have a poor record of anticipating government fiscal policy.
E) All of the statements are true
Keynesians
are economists or adherents of the economic theories of John Maynard Keynes, who advocated for government intervention in markets to mitigate the adverse effects of economic cycles.
Monetarists
Economists who theorize that alterations in the money supply have a major influence on the national output in the short run and affect price levels over more prolonged periods.
Rational Expectationists
Economists who argue that individuals make decisions based on their rational outlook, available information, and past experiences.
- Separate and contrast the diverse schools of economic thought and their beliefs regarding the role of government in economic management.
- Examine the outcomes of various economic approaches in assorted economic scenarios.
Verified Answer
MG
Learning Objectives
- Separate and contrast the diverse schools of economic thought and their beliefs regarding the role of government in economic management.
- Examine the outcomes of various economic approaches in assorted economic scenarios.