The government wants to increase its spending to stimulate the economy. Taking into account direct expenditure offset effects, what is its best spending option?
A) a new fighter jet for the military
B) expanding the school lunch program
C) constructing more low income housing
D) providing textbooks for college students
Correct Answer:
Verified
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Q80: Q81: If the government increases spending and there Q83: If the government began providing free textbooks Q84: The Laffer curve shows a relationship between Q85: Supply-side economists argue that Q86: By definition, a direct expenditure offset will Q87: The tendency for expansionary fiscal policy to
A)
A) higher tax rates
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