Which of the Following Contributed to the Weak Recovery from the 2008-2009

question 11

Multiple Choice

Which of the following contributed to the weak recovery from the 2008-2009 recession?

• A) The restrictive monetary policy followed by the Fed.
• B) Government spending was increased by only a small amount.
• C) The temporary nature of the tax rebates and spending increases created uncertainty and exerted only a weak impact on aggregate demand.
• D) The budget deficits were too small to exert much impact on aggregate demand, output, and employment.

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Definitions:

Lowest Terms

The expression of a fraction in its simplest form, where the numerator and denominator are as small as possible.

Ratio

A mathematical way to compare two quantities, indicating how many times one value contains or is contained within the other.

Lowest Terms

The simplest form of a fraction, where the numerator and denominator are reduced to their smallest possible values.

Ratio

A mathematical expression that compares two numbers by division, indicating how much of one value there is compared to another.