The "Yes, Markets Self-Adjust" camp focuses on short-run business cycles, while the "No, Markets Fail Often" camp focuses on long-run growth.

Question

Quizplus · Accepted Answer

The statement is incorrect. The "Yes, Markets Self-Adjust" camp also focuses on long-run growth and efficiency, while the "No, Markets Fail Often" camp also analyzes short-run business cycles. Both camps simply have different views on the extent to which markets can efficiently self-adjust and the level of government intervention necessary to correct market failures.

The "Yes, Markets Self-Adjust" Camp Focuses on Short-Run Business Cycles