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"Premier Liu Chao- Shiuan Announced Tuesday a Government Plan to Distribute

Question 372

Multiple Choice

"Premier Liu Chao- shiuan announced Tuesday a government plan to distribute NT$82.9 billion (US billion) in consumption coupons to Taiwan's citizens in a bid to stimulate ... economic growth."
HYPERLINK "http://www.etaiwannews.com/" www.etaiwannews.com 11/18/20
The Premier's plan to boost economic growth by boosting consumption


A) will not work because real GDP per person will decrease.
B) will work because there will be a movement out along Taiwan's aggregate production function.
C) will work because employment will increase.
D) will not work because economic growth is boosted by labor productivity, not consumption.

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