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After a real negative shock,government spending only improves growth minimally and aggregate demand doesn't fully recover because of:
Q16: Easy credit can start or intensify a
Q59: Suppose an economy suffers a real shock
Q69: What are the three main sources of
Q88: What does knowing that $1.25 buys one
Q132: If purchasing power parity holds and the
Q146: Monetary policy is easy if the central
Q148: (Figure: Aggregate Demand and Fiscal Policy) Refer
Q180: An exchange rate determined primarily by market
Q253: Which of the following is an example
Q277: Transactions in the current account include:<br>A) changes