An Appropriate Fiscal Policy for Severe Demand-Pull Inflation Is

question 126

Multiple Choice

An appropriate fiscal policy for severe demand-pull inflation is

• A)an increase in government spending.
• B)depreciation of the dollar.
• C)a reduction in interest rates.
• D)a tax rate increase.

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Definitions:

Ciliary Body

The ciliary body is a part of the eye that includes the ciliary muscle, which controls the shape of the lens, and the ciliary epithelium, which produces the aqueous humor.

Choroid

A layer of the eye between the retina and the sclera, rich in blood vessels, providing oxygen and nutrients to the inner parts of the eye.

Lens

A piece of transparent material, typically glass or plastic, that refracts or focuses light rays, used in glasses and cameras.

Vestibule

The area in the inner ear between the semicircular canals and the cochlea.