Expansionary Policy Only Leads to Inflation,but Does Not Raise Output

question 22

Multiple Choice

Expansionary policy only leads to inflation,but does not raise output in ________.

• A)traditional Keynesian theory
• B)new Keynesian theory
• C)real business cycle theory
• D)traditional Keynesian,new Keynesian and real business cycle theory

---

Definitions:

Reducing Fears

Techniques or strategies aimed at lessening feelings of fear or anxiety, often through exposure, cognitive restructuring, or relaxation methods.

Gestalt Therapy

A form of psychotherapy that emphasizes personal responsibility and focuses on the individual's experience in the present moment, the therapist-client relationship, the environmental and social contexts of a person's life, and the self-regulating adjustments people make as a result of their overall situation.

Fritz Perls

A psychiatrist and psychotherapist known for developing Gestalt therapy, emphasizing mindfulness, responsibility, and living in the present moment.

Psychological Inhibitions

Mental or emotional blocks that prevent an individual from expressing their thoughts, feelings, or desires freely.