Question

Keynes believed that the government should ________ to get the economy out of recession:

Answer 1

Keynes believed that the government should increase spending to get the economy out of recession.

In order to create jobs and also to boost consumers buying power during a recession, Keynes in his theory for economics  held that governments should increase spending in the economy , even if it means going into debt also.

Keynesian economics defines that the  demand for any product drives supply of that product and such of the healthy economies spend as well as invest more amount than the amount which they save.

However most of the critics attack Keynesian economics for just promoting deficit spending or  stifling private investment, as well as causing inflation.

To know more about Keynes economics here:

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