Question

Neoclassical economists focus on the economy ________. a. in the long-run b. in the short-run c. when it is experiencing a prolonged recession d. at the natural rate of unemploymen

Answer 1

Answer: in the long run.

Step-by-step explanation:

Neoclassical Economics focuses on the economy in the long run. According to the Neoclassical Economics, the aim of the government should be on how to control inflation in the economy and also on the long term growth of the economy.

They believe that government should worry less on certain issues such as cyclical unemployment as this is a short term phenomena.