Assume the economy is operating at a real GDP above full-employment real GDP. Classical economists would prescribe which of the following policies?
A) nonintervention
B) active monetary policy
C) contractionary
D) expansionary

Question

Quizplus · Accepted Answer

Classical economists believe that the economy is self-correcting and would advocate for nonintervention, allowing the market to adjust on its own.

Assume the Economy Is Operating at a Real GDP Above