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Keynesian Economists Believe That Government Intervention in the Economy Is

Question 127

Multiple Choice

Keynesian economists believe that government intervention in the economy is necessary because


A) prices are flexible and allow the economy to quickly return to full employment.
B) the long run is more important than the short run,and economic policy works only in the long run.
C) savings is a crucial part of economic growth and investment.
D) prices are sticky and prevent the economy from moving toward full employment.
E) supply is more important than demand in determining economic growth and output.

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