According to Keynesian  economics, what impact would a balanced budget  amendment to the constuition requiring the federal government to balance its budget annually have on the economy?

In the new Keynesian view, the larger the proportion of firms in the economy with sticky prices the less effective is fiscal policy in increasing output. The steeper the SRAS curve will be. the greater the increase in the price level for a given shift in the AD curve. the flatter the SRAS curve will be.

According to Keynes(Keynesian Macroeconomics), can the private sector always remove the economy from a recessionary gap? What would be the solution from a Christian perspective regarding people who cannot afford medical care?

Which type of policy – fiscal or monetary - do you feel was most impactful 2020? Why?

Consider an economy currently in recession. Which is NOT a policy move that could assist the economy, as discussed in class? Raising the money supply Raising government spending Lowering bank reserves Lowering interest rates

Which of the following statements is true?   Question options:   Keynes believed wages and prices are often too flexible - falling wages can cause a recession.   Keynes believed an economy could get stuck in a recessionary gap.   Keynes advocated running government surpluses in times of recession.   Keynes believed the economy is self-regulating.   b and c

According to the classical economists, the supply curve is vertical at the level of potential GDP. What happens to the level of real output and price no matter where the demand curve is drawn?

Please explain the following political economy terms (With example) - Keynesian

In the context of macroeconomic   stabilization policies, which scenario best illustrates the concept of "automatic stabilizers"?    a) A government increases spending on infrastructure projects during a recession as part of a deliberate fiscal stimulus package.    b) During an economic downturn, unemployment benefits automatically increase as more people become unemployed, providing a buffer to the economy.    c) The central bank adjusts the interest rates in response to changes in inflation and unemployment data.    d) A government adopts a new policy to increase taxes on high-income earners during periods of economic boom.

In macroeconomics, in the Keynesian range of the AS curve _______________. Group of answer choices a decrease in aggregate spending would increase real GDP an increase in aggregate expenditure would decrease real GDP a decrease in aggregate expenditure would not have much impact on prices an increase in government spending would drastically increase the price level