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Assume That the World Is Suffering from a Recession

Question 10

Multiple Choice

Assume that the world is suffering from a recession. Which of the following policies adopted by country A would benefit other countries?


A) Giving investment grants to industry
B) Raising interest rates in an attempt to reduce inflation and make exports more competitive
C) Using protectionism to help domestic industry
D) A devaluation of the currency

Correct Answer:

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