Supporters of Using Government Expenditures to Respond to Recession

question 325

Multiple Choice

Supporters of using government expenditures to respond to recession

• A) argue that monetary policy should be used first. To respond to a recession the Fed would increase the money supply.
• B) argue that monetary policy should be used first. To respond to a recession the Fed would decrease the money supply.
• C) argue that monetary policy should be used only after fiscal policy has been used. To respond to a recession the Fed would increase the money supply.
• D) argue that monetary policy should be used only after fiscal policy has been used. To respond to a recession the Fed would decrease the money supply.

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Definitions:

Cyberstalking

The crime of stalking in cyberspace. The cyberstalker usually finds the victim through internet chat rooms, newsgroups, bulletin boards, or email and proceeds to harass that person or put the person in reasonable fear for his or her safety or the safety of his or her immediate family.

Internet

An international computer network offering extensive information and communication services.

E-Mail

A method of sending messages electronically from one user to another via the internet.

Money Laundering

Falsely reporting income that has been obtained through criminal activity, such as illegal drug transactions, as income obtained through a legitimate business enterprise, to make the "dirty" money "clean."