Contractionary Fiscal Policy Is So Named Because It

question 218

Multiple Choice

Contractionary fiscal policy is so named because it:

• A)involves a contraction of the nation's money supply.
• B)necessarily reduces the size of government.
• C)is aimed at reducing aggregate demand and thus achieving price stability.
• D)is expressly designed to contract real GDP.

---

Definitions:

Addressee's Title

The formal or professional title used when addressing or referring to someone, especially in written correspondence.

Reference Line and Salutation

Components of a letter where the reference line indicates the purpose or subject, and the salutation is a greeting to the recipient, typically starting with "Dear" followed by the recipient's title and name.

Method of Delivery

The specific way in which a product, service, or piece of communication is conveyed to its recipient.

Opposing Counsel

A lawyer or lawyers on the opposite side of a legal case or proceeding.