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Jennifer Jacob
on Oct 12, 2024

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An economist is most likely to favor discretionary aggregate demand policies,rather than a policy rule,if he or she is in which economic tradition?

A) Keynesian
B) Classical
C) Monetarist
D) Supply-side
E) Libertarian

Discretionary Aggregate Demand

Demand for goods and services in the economy that is influenced by government policy decisions, beyond automatic stabilizers.

Economic Tradition

The historical and cultural practices, beliefs, and philosophies that influence and shape an economy's structure, policy, and development.

Policy Rule

A guideline or protocol for economic policy that stipulates specific actions or responses to changes in economic indicators.

  • Compare and contrast the beliefs of supply-side economists with those of other economic paradigms about fiscal and monetary policies.
  • Inspect the theoretical bases and policy strategies of Keynesian, monetarist, and new classical economics.
  • Identify the role of governmental intervention according to different economic schools.
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Rebecca RendahlOct 18, 2024
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