which of the following alternatives best summarizes the keynesian perspective of the ad/as model?
A. It is focused on the short-run, so the AD is volatile and the SRAS is considered fixed. The government is responsible for adjusting their spending according to the AD movements with respect to the fixed SRAS.
B. It is focused on the short-run, so the vertical LRAS shifts over time. The government shouldn’t intervene in the movement of the AD curve, because it can only affect the price level, and not real GDP.
C. It is focused on the long-run, so the vertical LRAS shifts over time. The government shouldn’t intervene in the movement of the AD curve, because it can only affect the price level, and not real GDP.
D. It is focused on the long-run, so the AD is volatile and the LRAS is considered fixed. The government is responsible for adjusting their spending according to the AD movements with respect to the fixed SRAS.