Suppose There Currently Is an Inflationary Gap

question 259

Multiple Choice

Suppose there currently is an inflationary gap. What could the government do to bring the overall price level down?

• A)nothing
• B)Reduce government spending.
• C)Increase government spending.
• D)Reduce the nation's aggregate supply.

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Definitions:

Blood Pressure

The force exerted by circulating blood on the walls of blood vessels and constitutes one of the principal vital signs.

Oxygen Demand

A measure of the amount of oxygen required to oxidize organic and inorganic materials in water, used as an indicator of water quality.

Iron Supplement

A dietary supplement taken to increase the amount of iron in the body, often recommended for treating or preventing iron-deficiency anemia.

Dysrhythmia

An abnormal heart rhythm that can vary from minor irregularities to severe abnormalities affecting the heart's ability to pump blood.