The Keynesian model of macro equilibrium provided an explanation for the:
A)high rates of both unemployment and inflation experienced during the 2110s.
B)prolonged high rates of unemployment experienced during the 1930s.
C)low interest rates of the 1950s and 1960s.
D)budget surpluses and rapid growth of the U.S. economy during the 1990s.

Question

Quizplus · Accepted Answer

The Keynesian model was developed in response to the Great Depression of the 1930s, which was characterized by prolonged high unemployment. It emphasizes the role of aggregate demand in influencing economic output and employment.

The Keynesian Model of Macro Equilibrium Provided an Explanation for The