Which of the following is most likely to close a recessionary gap ...

[eruditmonkey@yahoo.com]

Which of the following is most likely to close a recessionary gap in the economy?
 a. A decrease in the expenditure on infrastructure
 b. An increase in the income tax rate
 c. An increase in the rate of foreign exchange
 d. A decrease in money supply
 e. An increase in the compensation for government employees

Question 2

The law of diminishing returns causes a firm's short-run marginal cost curve to be s-shaped.
 a. True
  b. False
  Indicate whether the statement is true or false

[cascooper22]

Answer to Question 1

e

Answer to Question 2

False

[eruditmonkey@yahoo.com]

Thanks for the timely response, appreciate it

Gracias!