According to the Graph Shown, the Consequence of Expansionary Fiscal

question 11

Multiple Choice

According to the graph shown, the consequence of expansionary fiscal policy is:

• A) inflation.
• B) deflation.
• C) a greater level of potential output.
• D) a lower level of potential output.

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Definitions:

Reduction In Tension

A process or action that decreases stress or anxiety levels in individuals or groups.

Oral Needs

Psychological or physical requirements for satisfaction received through the mouth, such as eating, drinking, or the need for verbal expression.

Variety Of Reasons

An expression used to indicate that there are multiple and possibly diverse explanations or causes for something.

Positive Consequences

Favorable outcomes or benefits that result from actions or behaviors, often serving as reinforcements that increase the likelihood of those behaviors recurring.