Related to the Economics in Practice on P

question 136

Multiple Choice

Related to the Economics in Practice on p. 558: A monsoon destroyed 80% of the Gregorian manufacturing base. The Gregorian government decided to use an expansionary fiscal policy to counter the effects of the monsoon on the economy. The use of the expansionary fiscal policy would have caused

• A) the price level to be lower and the output level to be higher than they would have been without the policy action.
• B) both the price level and the output level to be higher than they would have been without the policy action.
• C) both the price level and output level to be lower than what they would have been without the policy action.
• D) the price level to be higher and the output level to be lower than they would have been without the policy action.

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Definitions:

Rate of Incarceration

The number of individuals within a population who are confined in a prison or jail per 100,000 of the population.

Alternatives

Options or choices made available to individuals or groups that offer different means of achieving a desired outcome or solution.

Prisons

Institutions designed to detain individuals who have been convicted of crimes, intended for punishment, rehabilitation, or both.

Prime Minister

The head of government in a parliamentary system, responsible for running the government and implementing legislative agendas.