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Use the Figure Below to Answer the Following Question(s)

question 142

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Use the figure below to answer the following question(s) . Figure 12-2
Use the figure below to answer the following question(s) . Figure 12-2   Refer to Figure 12-2. Which of the following will most likely be favored by a Keynesian economist if the economy is operating at point a? A)  a balanced budget B)  restrictive fiscal policy C)  expansionary fiscal policy D)  continuation of the current tax and expenditure policies (dependence on the economy's self-correcting mechanism to restore full employment) Refer to Figure 12-2. Which of the following will most likely be favored by a Keynesian economist if the economy is operating at point a?


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