Question

9. In John Maynard Keynes Theory of Everything which is

true?

a.none of the above are true
b.he advised to increase government spending during downturns in
c.the economy or Great Dep

Answer 1

John Maynard Keynes believed that the government should increase its spending during economic downturns to stimulate the economy. This approach, known as Keynesian economics, suggests that government intervention can help stabilize a nation's economy. Keynes argued that government spending, whether practical or impractical, could pump up aggregate demand and lift the economy.

Step-by-step explanation:

John Maynard Keynes was a prominent British economist whose theories greatly influenced modern macroeconomics and government economic policies. He believed that during economic downturns, the government should increase its spending and employ fiscal and monetary measures to stimulate the economy. This approach, known as Keynesian economics, suggests that strategic government intervention can help stabilize a nation's economy during challenging financial times. Keynes argued that government spending in practical or impractical ways could pump up aggregate demand and lift the economy to its potential GDP.