Considering Only Its Direct Effect on Income, Expansionary Monetary Policy

question 88

Multiple Choice

Considering only its direct effect on income, expansionary monetary policy tends to:

• A)increase income and imports, shifting the U.S. trade balance in the direction of deficit.
• B)increase income and imports, shifting the U.S. trade balance in the direction of surplus.
• C)decrease income and imports, shifting the U.S. trade balance in the direction of deficit.
• D)decrease income and imports, shifting the U.S. trade balance in the direction of surplus.

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Definitions:

Latino Population

Refers to the demographic group of people in a given area who originate from Latin America or are of Latin American descent.

Los Angeles County

A region in Southern California, known as the most populous county in the United States, home to Los Angeles city and a diverse population.

Non-Hispanic White

A term used in the United States to refer to people who identify as white and are not of Hispanic or Latino origin.

Federal Deficit

The financial shortfall when a government's expenditures exceed its revenues within a given fiscal year, leading to increased national debt.