Who believed that small disturbances in output,prices,or unemployment were likely to be magnified by the invisible hand of the marketplace?
A)President Herbert Hoover.
B)Adam Smith.
C)John Maynard Keynes.
D)Jean-Baptiste Say.

Question

Quizplus · Accepted Answer

John Maynard Keynes believed in the idea of "economic fluctuations," or that small disturbances in output, prices, or employment could have significant impacts on the economy. He argued that government intervention, such as through fiscal policy, was necessary to stabilize the economy during times of recession or depression. Adam Smith, on the other hand, believed in the invisible hand of the marketplace but did not specifically address the issue of economic fluctuations. Herbert Hoover and Jean-Baptiste Say were proponents of laissez-faire economic policies and did not believe in government intervention during times of economic trouble.

Who Believed That Small Disturbances in Output,prices,or Unemployment Were Likely