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AP Macroeconomics Unit 5 Progress Check MCQ Exam Questions and Answers
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AP Macroeconomics Unit 5 Progress Check MCQ Exam Questions and Answers
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AP Macroeconomics: Unit 5 ProgressCheck MCQ Exam Questions and
Answers
Country iiX's iieconomy iiis iiin iian iiinflationary iigap. iiWhich iiof iithe iifollowing iicombinations
iiof iifiscal iiand iimonetary iipolicy iiactions iiwould iibe iimost iieffective iito iirestore iifull
iiemployment iiin iithe iishort iirun? ii- iiAnswers ii-An iiincrease iiin iiincome iitaxes iiand iian
iiincrease iiin iithe iicentral iibank's iiadministered iiinterest iirates
An iiincrease iiin iiincome iitaxes iiis iia iicontractionary iifiscal iipolicy iithat iiwill iidecrease
iiaggregate iidemand iiand iidecrease iireal iioutput. iiIncreasing iithe iicentral iibank's
iiadministered iiinterest iirates iiis iia iicontractionary iimonetary iipolicy iithat iiwill iidecrease
iiaggregate iidemand iiand iidecrease iireal iioutput. iiBoth iipolicies iiare iicontractionary iiand
iiwill iiclose iithe iiinflationary iigap iiand iimove iithe iieconomy iicloser iito iifull iiemployment.
An iieconomy iiwith iilimited iireserves iiin iiits iibanking iisystem iiis iiin iishort-run iiequilibrium
iias iiillustrated iiin iithe iigraph iiprovided. iiWhich iiof iithe iifollowing iicombinations iiof iipolicy
iiactions iiwould iidefinitely iimove iithe iieconomy iitoward iilong-run iiequilibrium? ii- iiAnswers
ii-A iidecrease iiin iiincome iitaxes iiand iia iicentral iibank iibond iipurchase
The iieconomy iiis iiin iia iirecessionary iigap. iiA iidecrease iiin iiincome iitaxes iiis iian
iiexpansionary iifiscal iipolicy iithat iiwill iiincrease iiaggregate iidemand iiand iiincrease iireal
iioutput. iiA iicentral iibank iibond iipurchase iiis iian iiexpansionary iimonetary iipolicy iithat iiwill
iiincrease iiaggregate iidemand iiand iireal iioutput. iiThe iitwo iipolicy iiactions iiare
iiexpansionary iiand iiwill iiclose iithe iirecessionary iigap iiand iimove iithe iieconomy iitoward
iifull iiemployment.
A iidecrease iiin iithe iipolicy iirate iiaccompanied iiby iia iidecrease iiin iiincome iitaxes iiwill
iiresult iiin iiwhich iiof iithe iifollowing iiin iithe iishort iirun? ii- iiAnswers ii-A iidecrease iiin
iiunemployment
A iidecrease iiin iithe iipolicy iirate iiis iian iiexpansionary iimonetary iipolicy iithat iiwill
iidecrease iinominal iiinterest iirates, iiincrease iiinterest-sensitive iispending, iiand iiincrease
iiaggregate iidemand, iiresulting iiin iian iiincrease iiin iireal iioutput iiand iithe iiprice iilevel. iiA
iidecrease iiin iiincome iitaxes iiis iian iiexpansionary iifiscal iipolicy iithat iiwill iiincrease
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