Fiscal Policy Most Directly Affects the Economy by Increasing or Decreasing

question 2

Multiple Choice

Fiscal policy most directly affects the economy by increasing or decreasing:

• A) aggregate demand.
• B) the interest rate.
• C) long-run aggregate supply.
• D) the money supply.

---

Definitions:

Parental Income

The combined earnings of a child's mother and father or the income of a single parent.

Subliminal Suggestions

Subliminal suggestions refer to messages that are presented below the threshold of conscious awareness, influencing thoughts, feelings, or behaviors without conscious processing.

Independent Variable

The variable in an experiment that is manipulated or changed by the researcher to observe its effect on the dependent variable.

Dependent Variable

In an experiment, the variable being tested and measured, expected to change due to the influence of the independent variable.