Use the Following Figure to Answer the Questions : Figure

question 38

Multiple Choice

Use the following figure to answer the questions : Figure 8.5:
-In Figure 8.5,according to Keynesians,if equilibrium real output is Q₁ and full-employment real output is Q₂,an appropriate fiscal policy lever would be to

• A)Increase AD by increasing income taxes.
• B)Increase AD by increasing government spending.
• C)Increase AS by reducing government regulations.
• D)Reduce AS by tightening air pollution standards to improve air quality.

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Definitions:

Glutamate

An important neurotransmitter in the brain involved in learning, memory, and the regulation of the nervous system's activity.

Neuron's Reaction

The process by which a neuron responds to stimuli, often involving electrical and chemical signals to transmit information.

Axon Branches

Extensions of an axon, which are part of a neuron, that help in transmitting neural signals to other cells.

Fatty Tissue Layer

Adipose tissue that stores fat, providing insulation and acting as an energy reserve.