Keynesian economic policies are associated with ______.

Question

Quizplus · Accepted Answer

Keynesian economic policies emphasize the use of government spending and taxation policies to influence the economy, which is known as fiscal policy. They focus on the idea that government intervention can stabilize the economy through controlling aggregate demand. This is in contrast to supply-side economics, which emphasizes lower taxes and less regulation to stimulate economic growth. Monetary policy, on the other hand, involves manipulating interest rates and the money supply to influence the economy. Balancing the federal budget may be a goal of Keynesian policies, but it is not their primary focus.

Keynesian Economic Policies Are Associated with ______