Classical economists:What similarities do you see when comparing the theories to Republican and Democratic economic positions?
1. Economic Terminology
Referencing PowerPoint presentation in the Lesson, define the following terms.
- Invisible Hand
- Demand Curve
- Benefits of Free Markets
- Limitations of Free Markets
- Negative consequences of Socialism
- Negative consequences of Communism
- Business Cycles
2. Economic theory
After reading the articles in the module and conducting additional research, using Word, answer the following questions.
- Classical economists believe in the theory of the invisible hand. True False
- Which economic theory believes in government intervention in the economy?
- How would classical economists deal with unemployment?
- How would Keynesian economists deal with unemployment?
- Which theory would you tend to subscribe to and why?
- What similarities do you see when comparing the theories to Republican and Democratic economic positions?
- Which theory, in your opinion, would the US economy most favor at this time?