Discussion post on Keynes’s law and Says the law
I have 2 posts I have to respond to they don’t need to be longer than a paragraph on both
here is Number 1 ….Hello Class, Although I had never heard of either of these laws, I learned that Say’s Law came after the 19th-century French economist J.-B. Keynes’s Law comes after the 20th-century British economist John Maynard Keynes. Upon reading that Say’s Law means supply creates demand, and Keynes’s Law means demand creates supply. Compare and contrast Keynes’ Law and Say’s Law as they relate to aggregate demand and supply. The relation between the two is that the economy grows not because people demand more but are more willing to go into debt to get it. Mainly because of the willingness of entrepreneurs and b20, from https://openstax.org/books/
principles-macroeconomics-2e/ pages/11- 6-Keynes-law-and-says-law-in- the-ad-as-model Skousen, M. (2017, January 6). Which is more accurate, Say’s Law or Keynes’s Law? Retrieved Which Is More Accurate, Say’s Law or Keynes’s Law? – Foundation for Economic Education (fee.org)
2nd post I need a response to the SRAS curve can be divided into three zones. In accordance with Keynes’ law, demand creates its own supply, so that changes in aggregate demand affect real GDP and employment. The horizontal Keynesian zone of the aggregate supply curve can be used to illustrate Keynes’ law. In the Keynesian zone, the curve is fairly flat on the left side of the SRAS curve, so movements in AD will affect output, but have little effect on prices.