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Keynesian Economists Believe That Prolonged Recessions Are Possible Because

Question 119

Multiple Choice

Keynesian economists believe that prolonged recessions are possible because


A) savings is a crucial component of economic growth.
B) prices are flexible and adjust quickly during economic downturns.
C) the most important determinant of economic growth is long-run aggregate supply.
D) government intervention is not necessary to promote full employment.
E) prices are sticky and do not adjust quickly during economic downturns.

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