Keynes explained that recessions and depressions occur because of

a. excess aggregate demand.
b. inadequate aggregate demand.
c. excess aggregate supply.
d. inadequate aggregate supply.


Ans: b. inadequate aggregate demand.

Economics

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The public debt in the United States is the total value of government securities held by

a. foreign governments b. private individuals c. businesses d. everyone holding any part of the debt e. itself

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The residents of a particular town typically enjoy taking their dogs along when they go to their local park for recreation and picnics. Everybody enjoys the park more when each group cleans up after themselves and their pets, but nobody enjoys the act of cleaning up after themselves or their dogs. We can expect the park to be _____ because of the _____

a. dirty; prisoner's dilemma b. clean; prisoner's dilemma c. dirty; overuse of a common resource d. clean; overuse of a common resource

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Aggregate demand _________. Real GDP growth and the inflation rate _________.

Fill in the blank(s) with the appropriate word(s).

Economics