Keynesians

A) believe capitalism is inherently stable
B) contend that government intervention in the economy is undesirable
C) advocated a laissez faire policy
D) believe wages and prices are inflexible downward
E) advocate tax cuts to encourage work,savings and investment

Keynesians

A group of economists who advocate for active government intervention in the economy, especially during recessions, to manage demand through fiscal and monetary policies.

Capitalism

An economic system characterized by private or corporate ownership of capital assets and goods, with the production and pricing of goods determined primarily by competition in a free market.

Government Intervention

This involves actions taken by a government to affect the economy beyond the basic regulation of fraud and enforcement of contracts, which can include tariffs, subsidies, and adjustments to interest rates.