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After a Real Negative Shock,government Spending Only Improves Growth Minimally

question 164

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After a real negative shock,government spending only improves growth minimally and aggregate demand doesn't fully recover because of:


Definitions:

Shiritori

A word game from Japan where participants alternate saying words that start with the last kana of the word said before.

Overregularization

A language acquisition error where children apply regular grammatical patterns to words that are exceptions.

Permissive

A parenting or leadership style characterized by low demands with high responsiveness, allowing for a high degree of freedom and self-regulation.

Neglecting

The failure to provide for a dependant's basic needs, which can include physical, emotional, and educational neglect.

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