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In the View of Economists, Which One of the Following

Question 6

Multiple Choice

In the view of economists, which one of the following statements is true?


A) Fiscal policy is unambiguously more effective in influencing national income under Flexible exchange rates than under fixed exchange rates.
B) Fiscal policy is unambiguously more effective in influencing national income under Fixed exchange rates than under flexible exchange rates.
C) Monetary policy is unambiguously more effective in influencing national income Under flexible exchange rates than under fixed exchange rates.
D) Monetary policy is unambiguously more effective in influencing national income Under fixed exchange rates than under flexible exchange rates.

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