If Expansionary Aggregate Demand-Oriented Macroeconomic Policy Is to Be Used

question 19

Multiple Choice

If expansionary aggregate demand-oriented macroeconomic policy is to be used to move The economy towards simultaneous external and internal balance, in which one of the Following situations would the policy indeed move the economy towards the attainment Of both goals?

• A) deficit in the current account; unacceptably high unemployment
• B) deficit in the current account; unacceptably rapid inflation
• C) surplus in the current account; unacceptably high unemployment
• D) surplus in the current account; unacceptably high inflation

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Definitions:

Vision

The faculty or state of being able to see, as well as the perception of the environment and the ability to interpret the surrounding visuals.

Leisure

refers to free time spent away from business, work, domestic chores, and education, as well as necessary activities such as eating and sleeping.

Legitimizing Myths

Beliefs or narratives used to justify and maintain social inequalities or the status quo by presenting them as natural or inevitable.

Inequalities

The condition of lacking equality, particularly in terms of status, rights, and chances.