Assume That Aggregate Demand in the Economy Is Excessive, Causing

question 174

Multiple Choice

Assume that aggregate demand in the economy is excessive, causing an inflationary gap.Which of the following would be most in accord with appropriate government fiscal policy?

• A)an increase in federal income tax rates
• B)an increase in the size of income tax exemptions for each dependent
• C)passage of legislation providing for the construction of 8,000 new post office buildings
• D)an increase in soil conservation subsidies to farmers

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Definitions:

Osteocytes

Osteocytes are mature bone cells encased in the bone matrix, playing a key role in bone maintenance and mineral homeostasis.

Osteoclasts

Cells that break down bone tissue, playing an essential role in bone remodeling and calcium homeostasis.

Chondrocytes

Cells specialized in the production and upkeep of the cartilaginous matrix that reside within cartilage.

Monocytes

A type of white blood cell that plays an important role in the immune system by fighting off pathogens and removing dead cells.