Homework Answers
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Please note the solution
| Option | Meaning | Corrent | Reason |
| A | The classical thoery says that economy is self regulating. Government intervention does not require. | Correct. | The classical theory suggests that government intervention does not require. |
| B | Keynesian economics is a theory that says the government should increase demand to boost growth. | Incorrect. | This theory suggests government intervention |
| C | The monetarist theory is an economic concept, which contends that changes in money supply are the most significant determinants of the rate of economic growth and the behavior of the business cycle | Incorrect | It also requires government intervention |
| D | Supply-side economic theory is commonly used by governments as a premise for targeting variables that bolster an economy's ability to supply more goods. | Incorrect | Government intervention required. |
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