The argument that in some situations the government had to "prime the pump" was advanced by________________?
Correct answer: C. John Maynard Keynes
- A. Karl Marx
- B. Adam Smith
- C. John Maynard Keynes
- D. Milton Friedman
Explanation
John Maynard Keynes argued that during deficient demand and unemployment, government spending could stimulate economic activity through the multiplier effect. This intervention is commonly described as priming the pump.
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