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Written Assignment Unit 2: Classical Economics vs Keynesian EconomicsUniversity of the PeopleBUS 1104 MacroeconomicsGalin Todorov, InstructorJune 27, 2020
Written Assignment Unit 2: Classical Economics vs Keynesian EconomicsIntroductionThe Classical versus Keynesian debate is an argument over how a free market economy wouldbounce back during a recession and return to a state of full employment.Classicaleconomicsasserts that economies are self-correcting and function best with minimal governmentintervention (Definition of classical economics | Higher rock education.(n.d.)).KeynesianEconomics: A school of thought that is characterized by a belief in active governmentintervention in an economy and the use of monetary policy to promote growth and stability(Introducing aggregate demand and aggregate supply | Boundless economics.(n.d.)).Similarities between Classical and Keynesian EconomicsThere are a few similarities between classical and Keynesian economics. Both believe in the ideaof a free market economy where people/businesses make decisions that allow them to maximize

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Term
Fall
Professor
why are you asking me this?
Tags
Economics, Macroeconomics, Keynesian economics

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