A country currently operating in a recession would benefit most from:

Question

Quizplus · Accepted Answer

An expansion in the money supply that leads to a depreciation of the domestic currency would benefit a country in a recession the most. This is because a depreciation of the currency would make exports cheaper and more attractive to foreign buyers, increasing demand for domestic goods and services, which would in turn boost economic activity and potentially create jobs. It would also make imports more expensive, encouraging domestic consumers to buy domestic products instead of imported ones, thus boosting domestic production and employment.

A Country Currently Operating in a Recession Would Benefit Most