The concept that producing goods and services generates the means and the willingness to purchase other goods and services is
A) the Keynesian approach.
B) money illusion.
C) Say's Law.
D) cost-push inflation.

Question

Quizplus · Accepted Answer

Say's Law, also known as the law of markets, states that the production of goods and services creates the income and the means to purchase other goods and services. In other words, supply creates its own demand. This concept is often used to argue against the need for government intervention in the economy, as it suggests that the market will always find a way to balance supply and demand.

The Concept That Producing Goods and Services Generates the Means