Expansionary Fiscal Policy to Prevent Real GDP from Falling Below

question 52

Multiple Choice

Expansionary fiscal policy to prevent real GDP from falling below potential real GDP would cause the inflation rate to be ________ and real GDP to be ________.

• A)higher; higher
• B)higher; lower
• C)lower; higher
• D)lower; lower

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Definitions:

Web-based Technologies

Technologies that are accessed over the internet using web browsers, enabling users to interact with online content and services.

Social Media Platforms

Web-based technologies that enable a company to build and manage social media solutions and services.

Order System

The processes and technology employed by an organization to accept, process, and fulfill customer orders.

Order Cycle Time

A metric that measures the length of the order cycle, or the ability of the order system to react to customer orders.