Multiple Choice
If the government wants to engage in fiscal policy to increase real GDP, it could
A) decrease government expenditure in order to increase short-run aggregate supply.
B) decrease government expenditure in order to decrease aggregate demand.
C) increase government expenditure in order to increase short-run aggregate supply.
D) increase government expenditure in order to increase aggregate demand.
Correct Answer:
Verified
Correct Answer:
Verified
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