What are the different view points about the role of the government in an economy?
Answer:
the keynes believe that the market is not stable, and need constant intervention by the govt. this means that keynesians the govt should correct the market failure by taxing and redistribute back in order to close the income gap between the rich and poor, govt should provide public good otherwise they wont be provided, they should also give jobs by making projects in order to protect jobs during economic downturn.
the monetarists believe that market can adjust and correct itself. govt shouldnt intervene at all.
but both agree that the least the govt can do is the long-term developtment, for example- infrastructures, education and training, to make sure that the market can be more flexible.
there, hopefully this helps
dont know
What are the different view points about the role of the government in an economy?
The answers post by the user, for information only, FunQA.com does not guarantee the right.
More Questions and Answers: