According to the Keynesian view of the macro economy,which of the following is always true at equilibrium?
A)Aggregate supply equals aggregate demand.
B)The economy is at full employment.
C)The price level is stable.
D)The price level is too low.

Question

Quizplus · Accepted Answer

According to the Keynesian view, equilibrium is achieved when aggregate supply equals aggregate demand, which implies that the economy is producing at its potential output level. However, this doesn't necessarily mean full employment or a stable price level.

According to the Keynesian View of the Macro Economy,which of the Following