Answer to Question #145730 in Economics for Shahir Sheikh

Question

When John Maynard Keynes said, "In the long run we are all dead," what serious economic point was he making?

a. People with limited savings could not afford to wait for the market, on its own, to restore equilibrium.
b. Classical economists did not care enough about people to promote government intervention in the economy.
c. A deep recession could continue for so long that everyone who was alive at the start of it would be dead by the time it ended.
d. Classical economics, with its outmoded ideas, was as good as dead in the new era of demand-side economics.

Answer 1

c. A deep recession could continue for so long that everyone who was alive at the start of it would be dead by the time it ended.