Which of the Following Had the Greatest Impact in Pulling

question 136

Multiple Choice

Which of the following had the greatest impact in pulling the U.S.economy out of the Great Depression?

• A)the economy's natural tendency to contract toward potential output
• B)the federal government's aggressive policy of tax cuts
• C)the federal government's aggressive policy of monetary stimulus
• D)a precipitous drop in aggregate demand
• E)the increased spending brought on by World War II

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Definitions:

Net Cash

The amount of cash available after accounting for cash inflows minus cash outflows, reflecting a company's ability to meet its short-term obligations.

Operating Activities

Activities directly related to the principal revenue-generating activities of an organization.

Accumulated Depreciation

The total amount of a tangible asset's cost that has been allocated as depreciation expense since the asset was acquired and put into use.

Cash Dividends

Cash distributions from a company's earnings to its shareholders.