When a Fiscal Policy Stimulus Raises Both Real Income and the Interest

question 113

Multiple Choice

When a fiscal policy stimulus raises both real income and the interest,

• A)the dollar appreciates.
• B)the dollar depreciates.
• C)imports decrease and exports increase.
• D)both A and C.

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Definitions:

Constitutional Amendment

A formal change or addition proposed or made to a constitution.

Andrew Johnson

The 17th President of the United States who served from 1865 to 1869, following the assassination of Abraham Lincoln.

Wade-Davis Bill

A 1864 proposal for the Reconstruction of the South that required a majority of prewar voters to swear allegiance to the Union.

Reconstruction Act

Legislation passed in 1867 that outlined the conditions for the Southern States to be readmitted to the Union after the Civil War, including requirements for suffrage for black males.