Which of the Following Had the Greatest Impact in Pulling

question 60

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 stimuli
• D)A precipitous drop in aggregate demand
• E)Increased spending during World War II

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Definitions:

Currency Exchange Rates

Currency Exchange Rates are the rates at which one currency can be exchanged for another, influencing international trade and investments.

Depreciable Assets

Long-term assets whose cost is gradually allocated over their useful life, reflecting a decrease in their value.

Exchange Rates

The price of one type of currency when exchanged for another.