-In the Above Figure, Which of the Following Policies Could

question 234

Multiple Choice

-In the above figure, which of the following policies could move the economy to potential GDP?

• A) increasing government expenditures and decreasing taxes
• B) decreasing government expenditures and increasing taxes
• C) decreasing taxes and not changing government expenditures
• D) None of the above answers is correct.

---

Definitions:

Photosynthesis

A process used by plants and other organisms to convert light energy, usually from the sun, into chemical energy that can be later released to fuel the organism's activities.

NPP (Net Primary Productivity)

The rate at which plants and other photosynthetic organisms produce organic compounds in an ecosystem minus the rate at which they use some of these compounds for respiration.

Tropical Rain Forest

A hot, moist biome found near Earth's equator characterized by high levels of rainfall and biodiversity.

Savannah

A mixed ecosystem characterized by the coexistence of trees and grassland, often found in regions with seasonal rainfall patterns.