Economics Mcqs
Q Suppose a wave of investor and consumer optimisms has increased spending so that the current level of input exceeds the long-run natural rate If policy makers choose to engage in activist stabilization policy they should ?
  • A A. Decrease government spending which the shifts the aggregate demand curve to the left
  • B B. Decrease taxes, which shifts the aggregate demand curve to the right
  • C C. Decrease taxes, which shifts the aggregate demand curve to the left
  • D D. Decrease government spending which shifts the aggregate demand curve to the right
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