What does the Keynesian approach to government economic policy emphasize?
A) the role of individual self-interest as a powerful stabilizing force
B) the role of money in the economy
C) the role of supply-side economics
D) the role of aggregate demand

Question

What does the Keynesian approach to government economic policy emphasize?  
A) the role of individual self-interest as a powerful stabilizing force 
B) the role of money in the economy 
C) the role of supply-side economics 
D) the role of aggregate demand

Quizplus · Accepted Answer

The Keynesian approach emphasizes the role of aggregate demand in driving economic growth and stabilizing the economy through government intervention, such as fiscal policy and monetary policy. This is in contrast to supply-side economics, which emphasizes the role of tax and regulatory policies in incentivizing businesses and individuals to invest and produce more, as well as the role of individual self-interest as a stabilizing force in the economy. The role of money in the economy is also important, but it is not the primary focus of the Keynesian approach.

What Does the Keynesian Approach to Government Economic Policy Emphasize