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Author Question: If the United States continues to run large structural deficits year after year, the government will have to (Read 28 times)

londonang

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Question 1

The multiplier means that the response to monetary policy is completed immediately.


◦ true
◦ false

Question 2

If the United States continues to run large structural deficits year after year, the government will have to


◦ borrow money to finance them.
◦ also run a trade deficit.
◦ raise interest rates to prevent the deflation that accompanies the deficits.
◦ deregulate financial institutions to accommodate the deficits.


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Marked as best answer by londonang on Apr 19, 2019

Gabe

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londonang

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Reply 2 on: Apr 19, 2019
Excellent


dreamfighter72

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Reply 3 on: Yesterday
Great answer, keep it coming :)

 

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