Suppose That Government Wishes to Affect the Level of Aggregate

question 25

Multiple Choice

Suppose that government wishes to affect the level of aggregate demand in the economy.All of the following,except one,are consistent policy measures.Which is the exception?

• A)A tax increase and an increase in money supply
• B)A tax reduction and an increase in money supply
• C)An increase in government spending and an increase in money supply
• D)A decrease in government spending and a decrease in money supply.

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Definitions:

Kindness

The quality of being friendly, generous, and considerate towards others.

Appearance

The way that someone or something looks to others, including aspects of physical presentation, dress, and grooming.

French And Raven

Refers to a social psychology theory identifying five bases of power: legitimate, reward, coercive, expert, and referent.

Referent Power

A form of influence based on the leader's or individual’s ability to cultivate loyalty and attraction, leading others to identify with them.