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keynesian vs classical in economics

miketolmachoff
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Classical economic theory is founded on the belief of free markets. There is no government intervention. Therefore, individuals operate as per their self-interests in making economic decisions. Keynesian economists postulate that the aggregate demand that is influenced by both public decisions (government agencies) and private decisions (businesses and individuals). In defense of Keynesian economics, there are several positive outcomes. According to Cate (2013), "Keynesian economics lead t...

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