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Figure 18-9 -Refer to Figure 18-9.Given That the Economy Has Moved from Economy

Question 105

Multiple Choice
Figure 18-9
 
-Refer to Figure 18-9.Given that the economy has moved from A to B in the graph above,which of the following would the appropriate fiscal policy to achieve potential GDP?

Figure 18-9
Figure 18-9    -Refer to Figure 18-9.Given that the economy has moved from A to B in the graph above,which of the following would the appropriate fiscal policy to achieve potential GDP? A) increase taxes B) increase government spending C) decrease the money supply D) increase interest rates
-Refer to Figure 18-9.Given that the economy has moved from A to B in the graph above,which of the following would the appropriate fiscal policy to achieve potential GDP?


A) increase taxes
B) increase government spending
C) decrease the money supply
D) increase interest rates

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