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Ch 5: Macro & Micro (differences (Fundmental Macroeconomic Question…

- - - - Say's Law: YES. supply creates its own demand
      - Keynes: NO. proper gov policy should correct the problems more quickly in the short run. expectations & fallacy of composition
- - - - investment spending: purchasing of new factories/equip
    - - Fiscal Policy: government purchases, taxes/transfers to achieve macroeconomic outcomes of steady growth, full employment, and stable prices