Suppose the Economy Is in an Equilibrium in Which Real

question 53

Multiple Choice

Suppose the economy is in an equilibrium in which real GDP is less than potential GDP. To increase real GDP, the government can use a fiscal stimulus of

• A)decreasing government expenditure only.
• B)decreasing government expenditure and simultaneously increasing taxes.
• C)decreasing taxes and/or increasing government expenditure.
• D)increasing the quantity of money.
• E)increasing taxes only.

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Definitions:

Dialog Box

A graphical user interface element that prompts the user to provide information or make selections within a software application.

Parameter Criteria

Conditions or variables specified in a query or function that must be met for records to be selected or actions to be performed.

Query Design

The process of building a query in a database, involving selecting fields, defining criteria, and possibly joining tables, to extract specific data.

Long Text Field

A type of database field designed to store extensive text, allowing for more detailed descriptions or comments.