Contractionary Fiscal Policy May Have Some Undesirable Consequences

question 109

Multiple Choice

Contractionary fiscal policy may have some undesirable consequences.Among these is

• A)higher unemployment.
• B)higher inflation.
• C)higher net exports.
• D)larger federal deficits.

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Definitions:

Neutral Stimulus

A stimulus that initially does not elicit any intrinsic response until it is associated with an unconditioned stimulus.

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The act of making spontaneous sounds and movements of the face and body that are expressions of amusement or joy.

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The act of making physical contact with something or someone, which can convey emotional states and facilitate non-verbal communication.

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A stage in Erickson's theory of psychosocial development where adolescents explore various roles and ideas to form a single, cohesive identity.