The idea that the government can stimulate a slow economy by increasing public spending or cutting taxes is called ________.

Question

Quizplus · Accepted Answer

The idea that the government can stimulate a slow economy by increasing public spending or cutting taxes is called Keynesianism, named after the economist John Maynard Keynes. The other options, such as laissez-faire economics, social democracy, rational choice theory, and monetarism, do not specifically focus on government's role in stimulating the economy through fiscal policies.

The Idea That the Government Can Stimulate a Slow Economy