In 2008, Germany passed a stimulus package of $29 billion as its economy slowed. This policy action follows the __________to restore full employment.
A) monetarist viewpoint that supports increases in expenditure by the federal government
B) Keynesian viewpoint that supports increases in the money supply
C) Keynesian viewpoint that supports increases in federal government expenditure
D) new classical viewpoint that discourages the use of expenditure by the federal government

Question

Quizplus · Accepted Answer

The policy action of passing a stimulus package of $29 billion in 2008 to boost Germany's economy follows the Keynesian viewpoint that supports increases in federal government expenditure to restore full employment.

In 2008, Germany Passed a Stimulus Package of $29 Billion