Contractionary fiscal policy is so named because it
A) involves a contraction of the nation's money supply.
B) necessarily reduces the size of government.
C) is aimed at reducing aggregate demand and thus achieving price stability.
D) is expressly designed to expand real GDP.
Correct Answer:
Verified
Q1: In a certain year the aggregate amount
Q3: Discretionary fiscal policy will stabilize the economy
Q4: The effect of a government surplus on
Q4: If the MPC in an economy is
Q6: Discretionary fiscal policy refers to
A)any change in
Q7: Suppose that the economy is in the
Q8: Fiscal policy refers to the
A)deliberate changes in
Q8: If the MPS in an economy is
Q10: An economist who favored expanded government would
Q13: If the MPS in an economy is
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents