Which school of thought believes that real GDP always equals potential GDP?
A) only classical
B) only Keynesian
C) Monetarist
D) both Keynesian and classical

Name: Which school of thought believes that real GDP always equals potential GDP? A) only classical B) only Keynesian C) Monetarist D) both Keynesian and classical
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Question

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Classical economics holds the view that the economy is always at or tends towards full employment, or potential GDP, due to flexible prices, wages, and interest rates.

Which School of Thought Believes That Real GDP Always Equals