FIGURE 24-2 Refer to Figure 24-2.Suppose the economy is in a short-run equilibrium at Y₁.An appropriate fiscal policy for attaining potential output (Y^*)is a(n) A)increase in personal and corporate tax rates. B)increase in government spending. C)increase in current consumption. D)decrease in personal and corporate taxes. E)decrease in current imports.

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The Answer of FIGURE 24-2 Refer to Figure 24-2.Suppose the economy is in a short-run equilibrium at Y₁.An appropriate fiscal policy for attaining potential output (Y^*)is a(n) A)increase in personal and corporate tax rates. B)increase in government spending. C)increase in current consumption. D)decrease in personal and corporate taxes. E)decrease in current imports.