Early Keynesians believed that low ________ during the Great Depression indicated that ________ policy was easy.
A)money growth; fiscal
B)money growth; monetary
C)interest rates; fiscal
D)interest rates; monetary

Question

Quizplus · Accepted Answer

Early Keynesians believed that low interest rates during the Great Depression indicated that monetary policy was easy, as the Federal Reserve was not doing enough to increase the money supply and stimulate the economy. Fiscal policy, on the other hand, refers to the government's use of taxation and spending to influence the economy, and was not as widely used or accepted during this time period.

Early Keynesians Believed That Low ________ During the Great Depression