Fiscal policy is a good option to stimulate an economy when:
A) consumer saving is very low.
B) consumer spending is very low.
C) there has been a negative technological shock in the economy.
D) LRAS has suddenly shifted to the left.
Correct Answer:
Verified
Q205: Which does NOT explain when fiscal policy
Q206: Fiscal policy is:
A) equally effective in dealing
Q207: Fiscal policy is a good option to
Q208: The best case for fiscal policy occurs
Q209: Economists who believe that fiscal policy can
Q211: Fiscal policy is most desirable if the
Q212: The tools of fiscal policy are government
Q213: The worst case for fiscal policy is
Q214: The macroeconomic case for government spending is
Q215: Under which scenario would expansionary fiscal policy
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