Which of the following schools of thought are policy interventionists favoring activist aggregate demand management to stabilize output and employment?
A)Keynesians
B)Monetarism
C)The new classical economics
D)The classical economics
E)None of the above

Question

Quizplus · Accepted Answer

Keynesians advocate for policy intervention and government spending to stimulate aggregate demand in order to stabilize output and employment levels. Monetarists, on the other hand, believe in using monetary policy to control the money supply and stabilize inflation rates. New classical economics and classical economics both emphasize market mechanisms and minimize the role of government intervention in the economy.

Which of the Following Schools of Thought Are Policy Interventionists