An Effective Expansionary fiScal Policy Will

question 51

Multiple Choice

An effective expansionary fiscal policy will

• A) reduce a cyclical deficit but necessarily increase the actual deficit.
• B) reduce the cyclically adjusted deficit.
• C) increase the cyclically adjusted deficit but reduce the actual deficit.
• D) always result in a balanced actual budget once full employment is achieved.

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Definitions:

Tentative

Describes something that is not final or firmly established; provisional or uncertain.

Masculine

Characteristic of or associated with men, often related to attributes or roles traditionally regarded as male.

Feminine

Qualities or attributes regarded traditionally as being typical of or appropriate for a woman.

Nonverbal Behaviors

Communicating without words through gestures, body language, facial expressions, and other physical ways.