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Author Question: Refer to Figure 16-6. In the dynamic model ofAD-ASin the figure above, if the economy is ... (Read 83 times)

urbanoutfitters

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on: Mar 16, 2019

Question 1

Figure 16-5











Refer to Figure 16-5.  In the dynamic model of AD-AS in the figure above, if the economy is at point A in year 1 and is expected to go to point B in year 2, Congress and the president would most likely pursue


◦ expansionary fiscal policy.
◦ contractionary fiscal policy.
◦ expansionary monetary policy.
◦ contractionary monetary policy.
◦ contractionary automatic stabilizers.

Question 2

Figure 16-6











Refer to Figure 16-6.  In the dynamic model of AD-AS in the figure above, if the economy is at point A in year 1 and is expected to go to point B in year 2, Congress and the president would most likely


◦ increase the money supply and decrease the interest rate.
◦ increase taxes.
◦ increase government spending.
◦ increase oil prices.
◦ raise interest rates.
Macroeconomics ¦ Hubbard, O'Brien ¦ 6th Edition
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Marked as best answer by urbanoutfitters on Mar 16, 2019

cloudre37

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Reply #1 on: Mar 16, 2019
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urbanoutfitters

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Reply 2 on: Mar 16, 2019
Wow, this really help

cassie_ragen

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Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

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