Which of the following economic perspectives focuses on the need for government to use spending and taxes to shift aggregate demand and thus correct problems of unemployment and inflation?
A)Supply-side.
B)Keynesian.
C)Classical.
D)Monetarists.

Question

Quizplus · Accepted Answer

The Keynesian economic perspective emphasizes the need for government intervention in the economy, particularly through fiscal policy, to stabilize aggregate demand and address issues of unemployment and inflation. Supply-side economics prioritizes increasing the supply of goods and services through tax cuts and deregulation, while classical economics emphasizes the self-correcting nature of markets and the limited role of government intervention. Monetarists focus on the role of the money supply in influencing economic activity.

Which of the Following Economic Perspectives Focuses on the Need