Consider the Following Statement: "If the Government Attempts to Raise

question 78

Multiple Choice

Consider the following statement: "If the government attempts to raise employment through increased fiscal spending, all it will do is drive up the price level." The proponent of this statement assumes that the aggregate

• A) demand curve is a horizontal line.
• B) supply curve is a vertical line.
• C) supply curve is upward-sloping.
• D) supply curve is downward-sloping.
• E) supply curve is flat.

---

Definitions:

Public Support

The backing or endorsement by the general population for a particular cause, policy, or individual.

Diagnostic-Related Groups

A system used to classify hospital cases into groups to facilitate payment based on the type of care provided rather than individual services.

Government

The governing body of a nation, state, or community, responsible for creating and enforcing laws, policies, and regulations.

Hospital Stay

The period of time a patient spends in a hospital as an inpatient to receive treatment, care, or surgery.