Which of the Following Is the Most Likely Effect of an Increase

question 141

Multiple Choice

Which of the following is the most likely effect of an increase in government spending on goods to build or repair infrastructure?

• A)It would shift the aggregate demand curve to the left.
• B)It would have a crowding-out effect.
• C)It would shift the short-run aggregate supply curve, but not the long-run aggregate supply curve.
• D)It would shift the aggregate supply curve to the right in the long run.

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Definitions:

Team-based Financial Incentives

Compensation or bonuses given to teams based on their collective performance or achievements, aimed at increasing productivity and fostering collaboration.

Financial Incentives

Monetary rewards offered to individuals or groups to motivate performance or behavior changes.

Psychological Ownership

The feeling of possessiveness and attachment that a person develops for something they do not legally own.

Legal

Pertaining to laws or the practice of law; conforming to the law or to the rules of a legal institution.