The main ideas of Keynesian economics are the importance of the _____ and emphasis on _____.
A) long run over the short run; a vertical SRAS curve
B) long run over the short run; the AD curve and the SRAS curve
C) short run over the long run; the AD curve and a rising SRAS curve
D) free market with no government intervention; monetary policy in the long run

Question

Quizplus · Accepted Answer

Keynesian economics emphasizes the importance of the short run over the long run and focuses on the aggregate demand (AD) curve alongside a short-run aggregate supply (SRAS) curve that can rise due to factors like wage and price stickiness.

The Main Ideas of Keynesian Economics Are the Importance of the _____