An economist proposes that the government should spend more on public-works programs to help increase demand for goods and services in order to improve the overall economy.Which approach would fit best with this economic theory?

Question

Quizplus · Accepted Answer

Keynesian economics advocates for government intervention in the economy during times of economic downturns through increased government spending, especially on public works programs, to enhance demand for goods and services. This approach is based on the belief that the government can stimulate economic growth and create jobs by boosting consumer spending, which can lead to an increase in production and employment.

An Economist Proposes That the Government Should Spend More on Public-Works