Because the private and foreign sectors of the economy were in a deep slump during the Great Depression, Keynes suggested an increase in _____ spending.
A) investment
B) government
C) consumption
D) import

Question

Quizplus · Accepted Answer

Keynes believed that during a recession, the government should increase its spending to offset the decrease in private and foreign investment. By increasing government spending, the economy would receive a boost in demand, leading to increased production and employment.

Because the Private and Foreign Sectors of the Economy Were