What Is the Main Argument Put Forward by Economists Who

question 7

Multiple Choice

What is the main argument put forward by economists who are in favour of a slow and steady reduction of the US budget deficit?

• A) It eases the pain of lower demand and lower growth, at a time when unemployment is still very high.
• B) It eases the pain of a lower exchange rate and lower growth, at a time when unemployment is still very high.
• C) It eases the pain of a lower bond rate and a lower exchange rate, at a time when unemployment is still very high.
• D) It eases the pain of lower demand and lower exports, at a time when unemployment is still very high.
• E) It eases the pain of a lower exchange rate and a lower interest rate, at a time when unemployment is still very high.

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Definitions:

Marketers

Professionals involved in the process of promoting, selling, and distributing a product or service to consumers.

Behavioral Economists

Scholars who examine how psychological, cognitive, emotional, cultural, and social aspects influence the economic choices made by individuals and institutions.

Preferences

The subjective tastes and desires of individuals or groups, influencing their choices among various goods, services, or outcomes.

Framing

The way information is presented to influence decision-making and judgment.