The main reason why the traditional classical school ceased to be widely accepted was that:
a. it did not reflect the realities of the modern economy.
b. when Keynes received the Nobel Prize, the academic establishment started believinghis ideas
c. it could not explain the persistence of the high levels of unemployment seen during the Great Depression.
d. it was too abstract to be completely understood.
e. it could not explain the relationship between inflation and unemployment.
c
Economics
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Which of the following statements about M1 and M2 is true?
A) Demand deposits are not part of M1. B) M2 is more liquid than M1. C) M1 is larger than M2. D) Savings deposits are part of M2.
Economics
Capital and labor are distinct from productivity in that ________
A) productivity is independent of technology changes B) productivity can only increase over time C) productivity is subject to diminishing returns D) capital and labor are subject to diminishing marginal returns
Economics