Get Solutions for: Using the Great Depression to support his theory, John Maynard Keynes argued that: 3. a market econo

Using the Great Depression to support his theory, John Maynard Keynes argued that: 3. a market economy is “self-correcting” (when it has an output gap) both in the short run and in (A) the long run. a market economy could become “stuck” at an equilibrium level of GDP in the short run which (B) is below the country’s productive capacity, resulting in a substantial amount of unemployment. (C) aggregate demand would always be sufficient to generate full employment in a market O economy. (D) government intervention in the economy (through spending and taxation) is unnecessary, because a market economy always produces the best outcome (such as full employment), both in the short run and in the long run. both (A) and (D) are true. (E)