In an Open Economy, Fiscal Policy Has

question 8

Multiple Choice

In an open economy, fiscal policy has:

• A)a smaller impact on aggregate demand as compared to a closed economy.
• B)the same impact on aggregate demand as compared to a closed economy.
• C)a larger impact on aggregate demand as compared to a closed economy.
• D)no impact on aggregate demand.

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Definitions:

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Prejudiced beliefs and discriminatory behaviors directed towards individuals or groups based on their race.

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A law enforcement action aimed at stopping the illegal drug trade, typically involving the seizure of drugs and arrest of individuals involved.

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