Given an Open Economy with High Capital Mobility and Floating

question 2

Multiple Choice

Given an open economy with high capital mobility and floating exchange rates,suppose an expansionary fiscal policy is implemented to combat recession.The initial and secondary effects of the policy

• A) cause aggregate demand to increase,thus strengthening the policy's expansionary effect on real output
• B) cause aggregate demand to decrease,thus eliminating the policy's expansionary effect on real output
• C) have conflicting effects on aggregate demand,thus weakening the policy's expansionary effect on real output
• D) have conflicting effects on aggregate demand,thus strengthening the policy's expansionary effect on real output

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Individuals who apply for positions within organizations, hoping to be selected for employment.

Body Language

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The process of filling job vacancies within an organization by promoting or transferring existing employees rather than hiring externally.

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