What Actions Could Be Taken to Stabilize Output in Response

question 191

Multiple Choice

What actions could be taken to stabilize output in response to a large decrease in U.S. net exports?

• A)increase government expenditures or increase the money supply
• B)increase government expenditures or decrease the money supply
• C)decrease government expenditures or increase the money supply
• D)decrease government expenditures or decrease the money supply

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Definitions:

Computed Net

An amount calculated after accounting for all relevant adjustments, deductions, and allowances.

Annuity

A financial product that pays out a fixed stream of payments to an individual, primarily used as an income stream for retirees.

Present Value Tables

Tables utilized in finance to determine the present value of a sum that will be received at a future date by applying a specific discount rate.

Original Investment

The initial amount of money put into a project, asset, or business, used as a basis for determining future returns or profitability.