Which of the Following Policy Alternatives Would Be an Appropriate

question 43

Multiple Choice

Which of the following policy alternatives would be an appropriate response to a sharp increase in investment spending,assuming policymakers want to stabilize output?

• A)increase taxes
• B)increase the money supply
• C)increase government expenditures
• D)All of the above are correct.

---

Definitions:

Market Wage Rates

The prevailing pay rates for specific jobs within a labor market, shaped by factors like supply, demand, and industry standards.

Job Evaluation Points

A quantifiable measure used in job evaluation processes to rate the relative value of different jobs within an organization, based on specific criteria.

Wage Rate

The fixed amount of money or compensation paid to an employee by an employer in return for work performed, typically expressed per hour or per unit of work.

Pay Range

A set spectrum of salaries that an organization is willing to pay for a specific position, considering experience and skill level.