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Unformatted text preview: that the problem in a depression is a) consumers overspend on non-essentials b) businesses make unwise investment decisions c) banks lower their interest rates excessively d) savings do not grow and investment does not rise 4) The best analogy for the economy, Keynes said in his General Theory , is a) a see-saw b) an elevator c) a train wreck d) a watch 5) Roosevelts approach to business was a) government should stay out of business, as Adam Smith said b) the invisible hand will, with time, correct the economy c) government should master the economy to protect the public d) unregulated self-interest serves business as well as government...
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- Fall '08