According to John Maynard Keynes' General Theory of Employment, Interest and Money, the government should _____ in order to get an economy out of a depression
a. increase spending
b. decrease spending
c. reduce subsidies
d. increase taxes
e. allow the economy to correct itself
a
Economics
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If the realized real interest rate in an economy is 6%, the nominal interest rate is 8%, and the expected inflation rate is 8%, then the realized inflation rate in the economy is:
A) 2%. B) 4%. C) 8%. D) 6%.
Economics
If the economy is on the LM curve, but is to the right of the IS curve, aggregate output will ________ and the interest rate will ________
A) rise; rise B) rise; fall C) fall; rise D) fall; fall
Economics