Which of the Following Will Lead to Economic Growth by Increasing

question 50

Multiple Choice

Which of the following will lead to economic growth by increasing aggregate supply?

• A) An increase in the wage level in the economy.
• B) A fall in aggregate demand.
• C) An increase in the productivity of labour.
• D) An increase in interest rates in the economy.

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Definitions:

Panic of 1873

A financial crisis that triggered a severe international economic depression in both Europe and the United States, lasting until 1879.

Easy-Money Policies

Monetary policies intended to stimulate the economy by increasing the money supply and reducing interest rates to encourage borrowing and spending.

Economic Expansion

Economic expansion refers to a phase where an economy experiences increased levels of activity and growth across its industries and sectors, typically marked by rising GDP.

Thaddeus Stevens

was a nineteenth-century U.S. congressman and a fierce advocate for the abolition of slavery and equal rights during and after the Civil War.