If Consumer and Business Sentiment Were to Increase Dramatically, Causing

question 31

Multiple Choice

If consumer and business sentiment were to increase dramatically, causing an expansionary gap:

• A)monetary policymakers could stabilize the economy by shifting their monetary policy reaction curve to the right.
• B)fiscal policymakers could stabilize aggregate demand by cutting income and business taxes.
• C)monetary policymakers would likely shift the monetary policy reaction curve to the left to shift the dynamic aggregate demand left.
• D)fiscal policymakers could stabilize aggregate demand by increasing government purchases.

---

Definitions:

Fly Legs

Fly legs are the limbs of flies, typically utilized for landing, walking, tasting, and manipulating objects, showcasing a variety of specialized adaptations.

Gene Duplication

A process in which a segment of genetic material or a whole gene is copied or duplicated, leading to multiple copies of that segment or gene in the genome.

Paralogs

Genes that arise by duplication within the same organism, often developing new functions while retaining some characteristics of the original gene.

Functional Redundancy

The phenomenon where multiple species or genes perform similar functions within an ecosystem or biological system, providing resilience against environmental changes or perturbations.