Which event has a multiplier effect and increases aggregate demand?
A) increase in saving
B) increase in exports
C) decrease in investment
D) increase in taxes
E) decrease in exports
Correct Answer:
Verified
Q25: The fiscal policy to counter an inflationary
Q26: The "No - Markets Fail Often" camp
Q27: When real GDP exceeds potential GDP, fiscal
Q28: Which government fiscal policy is a positive
Q29: Fiscal policy is
A) the use of government
Q31: The fiscal policy to counter a recessionary
Q32: During a recessionary gap, government fiscal policy
Q33: The "No - Markets Fail Often" camp
Q34: The estimated size of the multiplier effect
Q35: The "Yes - Markets Self-Adjust" camp favours
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