Asked by Andrew Shoffler on May 14, 2024

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Say's law,flexible wages and prices,and the quantity of money were all basic tenets of the _____ school of economics.

A) classical
B) supply-side
C) Keynesian
D) economic behaviorists
E) monetarist

Say's Law

A principle stating that supply creates its own demand, meaning that production of goods and services creates an equivalent purchasing power in the economy.

Flexible Wages

A wage system where pay rates can vary based on market conditions, performance, or negotiated agreements, as opposed to fixed salaries.

Quantity of Money

The total amount of money in circulation within an economy, including cash, coins, and balances held in checking and savings accounts.

  • Acquire knowledge of the essential principles of classical and Keynesian economics.
  • Understand the importance and impact of the quantity theory of money on classical economics.
  • Understand the importance of Say's law and its connection to classical economics.
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Nicole GilbertMay 16, 2024
Final Answer :
A
Explanation :
Say's law, flexible wages and prices, and the quantity of money are all key ideas of classical economics. Supply-side economics focuses on tax cuts to increase supply, Keynesian economics emphasizes government intervention to manage demand, economic behaviorism looks at individual behavior and decision making, and monetarism focuses on the control of money supply by the central bank.