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Following the Financial Collapse in Late 2008, the Deficit Increased

Question 59

Multiple Choice

Following the financial collapse in late 2008, the deficit increased in part because of the


A) weakened state of the economy caused increased spending on unemployment compensation.
B) high short-term interest rates and restrictive monetary policy.
C) U) S. return to the gold standard.
D) massive expansion of foreign aid to Central American democracies.

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