The classical economists believed in all of the following except

A) wages and prices are flexible downward.
B) insufficient aggregate demand could keep an economy in a depression for an extended period of time.
C) recessions were temporary because the economy is self-correcting.
D) laissez faire was the best policy a government could pursue.

Classical Economists

Economists of the late 18th and 19th centuries who believed in free markets, minimal government intervention, and the importance of competition.

Aggregate Demand

This term refers to the total amount of goods and services demanded in the economy at a given overall price level and in a given time period.

Laissez Faire

An economic policy or attitude of letting markets operate without government interference or regulation.