If There Is an Inflationary Gap in the Economy, Discretionary

question 84

Multiple Choice

If there is an inflationary gap in the economy, discretionary fiscal policy would likely involve
An action to

• A) shift the aggregate demand curve to the right.
• B) shift the aggregate demand curve to the left.
• C) shift both the aggregate demand curve and aggregate supply curve to the right.
• D) shift both the aggregate demand curve and aggregate supply curve to the left.

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Definitions:

Script

A sequence of expected behaviors, roles, and events in a particular context, helping individuals navigate social situations.

Genetic Influences

The impact that genes inherited from biological parents have on various traits or aspects of an individual, including physical appearance, personality, and susceptibility to certain diseases.

Mental State Terms

Vocabulary used to describe one's internal psychological and emotional conditions or the mental conditions of others.

Psychological Reasoning

The process of evaluating, analyzing, and understanding the mental processes underlying human behavior and thought.