Expansionary Fiscal Policy Involves

question 70

Multiple Choice

Expansionary fiscal policy involves

• A)a decrease in government spending and/or an increase in taxes.
• B)only an increase in taxes.
• C)an increase in government spending and/or a decrease in taxes.
• D)only a decrease in government spending.

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Definitions:

Variance

A statistical measure that represents the dispersion of a dataset relative to its mean, indicating the spread of the data points.

Expected Return

Expected return is the forecasted financial return on an investment, reflecting the amount of profit or loss one anticipates on an investment.

Standard Deviation

A measure of the amount of variation or dispersion of a set of values, used to quantify the risk of an investment.

Expected Return

The weighted average of all possible returns from an investment, considering the probabilities of each outcome.