Fiscal Policy

question 100

Multiple Choice

Fiscal policy

• A) is dangerous in the short run because it crowds out investment spending
• B) can change equilibrium GDP in the short run
• C) can change equilibrium GDP in the long run
• D) can change equilibrium GDP in both the long and the short run
• E) is dangerous in the long run because it triggers a multiplier effect

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Definitions:

Vital Signs

Basic measurements of the body's most important functions, including temperature, pulse, respiration rate, and blood pressure.

Situational Stress

Stress experienced in response to a specific situation or environmental demand that disrupts an individual's psychological equilibrium.

Maturational Stress

Stress arising from the process of growth and development, both physically and emotionally, which can impact individuals at different life stages.

Adjusting

Adjusting entails making small changes to a device, process, or system to improve performance or attain a desired level of functioning.