Author Question: If the economy is experiencing unemployment, then the most appropriate government policy would be ... (Read 28 times)

maychende

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If the economy is experiencing unemployment, then the most appropriate government policy would be to:
 a. shift the aggregate demand curve by using a tax increase coupled with spending cuts.
  b. shift the aggregate demand curve by using a tax increase coupled with more spending.
  c. shift the aggregate demand curve by using a tax cut coupled with spending cuts.
  d. shift the aggregate demand curve by using a tax cut coupled with more spending.
  e. shift the aggregate supply curve by using a tax cut coupled with spending cuts.

Question 2

When there is an excess demand for money, individuals and businesses will attempt to purchase bonds.
 a. True
  b. False
  Indicate whether the statement is true or false



ambernicolefink

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Answer to Question 1

d

Answer to Question 2

False



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