Which of the Following Best Describes Japan's Fiscal Policy Response

question 1

Multiple Choice

Which of the following best describes Japan's fiscal policy response to the recession in the 1990s?

• A)Japan tried to stimulate the economy through a series of tax rate reductions as suggested by supply-side economics.
• B)Japan reduced government spending as a share of the economy,and the central government balanced its budget annually.
• C)Japan expanded government spending as a share of the economy and financed the spending with budget deficits and increased borrowing.
• D)Japan maintained a balanced budget during the 1990s,just as the U.S.did during the Great Depression.

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Definitions:

Personal Unconscious

A Jungian concept referring to all information and experiences unique to an individual that are repressed or forgotten.

Libido

A term often used in psychology to denote the energy of the sexual drive as a component of the life instinct.

Ego

A part of the mind that mediates between the conscious and the unconscious and is responsible for reality testing and personal identity.

Major Systems

Refers to the primary or dominant frameworks, organizations, or structures within a particular field or society.