A Quote "Neoclassical economists are often skeptical of the government's ability to manipulate aggregate demand skillfully and in a timely manner, as Keynesian economics recommends. Instead, neoclassical economists are likely to focus their attention on the underpinnings of long-run productivity growth: namely, an economy's investments in human capital, physical capital, and technology, operating together in a market-oriented environment that rewards innovation."

In effect, neoclassical economists worry less about short-term unemployment rates during times of recessions than they do productivity growth. Give your position and state why you take it assuming the economy is in a recession and unemployment is increasing. Include the macroeconomic consequences of your position.