In the Keynesian business cycle theory, business cycles begin with a change in
A)government expenditure.
B)the money wage rate.
C)business confidence.
D)inflation expectations.
E)monetary policy.

Question

Quizplus · Accepted Answer

In the Keynesian business cycle theory, business cycles often begin with a change in business confidence, which affects investment and spending decisions, leading to fluctuations in economic activity.

In the Keynesian Business Cycle Theory, Business Cycles Begin with a Change