Suppose the U

question 6

Multiple Choice

Suppose the U.S. economy experiences stagflation. An expansionary fiscal policy

• A) increases real GDP and lowers inflation.
• B) has no effect on real GDP but raises inflation.
• C) increases real GDP and aggravates inflation.
• D) increases real GDP and has no effect on inflation.

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Definitions:

20th Century

A period from 1901 to 2000 characterized by significant technological, social, and political changes globally.

Market Orientation

An approach requiring organizations to gather information about customer needs, share that information throughout the firm, and use that information to help build long-term relationships with customers.