Multiple Choice
In the IS-LM model, if investor sentiments deteriorate, then, in order to prevent a recession, public spending should:
A) increase.
B) decline.
C) remain constant.
D) fluctuate.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q36: According to the IS-MP-PC model, an increase
Q37: The IS curve gives the level of
Q38: According to the IS-MP-PC model, an increase
Q39: In the IS-MP model, as public spending
Q40: According to the IS-LM model, in a
Q42: In the IS-LM model the equilibrium level
Q43: If the price level, P, gets lower
Q44: Along the LM curve, the level of
Q45: Why can fiscal policy help the economy
Q46: According to the IS-MP-PC model, a higher