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The Theory of Economic Fluctuations Tells Us That the Spending

Question 67

Multiple Choice

The theory of economic fluctuations tells us that the spending shocks on the Japanese economy as a result of the earthquake in March 2011,


A) were aggravated because of feedback effects.
B) were lessened because of feedback effects.
C) should have no effect on the economy.
D) should only have affected big cities in Japan.
E) should not have created any feedback effects.

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