According to Keynesian analysis, the great depression was caused by:
A)a lack of spending
B)a sharp rise in the mpc
C)too much investment
D)too much foreign influence on the economy

Question

Quizplus · Accepted Answer

Keynesian analysis attributes the Great Depression primarily to a lack of aggregate demand, which includes a lack of spending by consumers, businesses, and the government. This lack of spending led to decreased production, increased unemployment, and further reduced spending, creating a vicious cycle.

According to Keynesian Analysis, the Great Depression Was Caused By