Which of the following is a reason Greece has had a slow recovery from the financial crisis of 2007-2009?
A) Currency union meant Greece was unable to exploit a falling exchange rate to boost exports.
B) Austerity programs required Greece to maintain an artificially high exchange rate.
C) Greece's recovery plan was based on poorly targeted increases in government spending.
D) The expansionary fiscal policy of tax cuts was ineffective.
E) Greece used contractionary fiscal policy to guarantee stable incomes for retired people.
Correct Answer:
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