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One of the Implications of Ongoing Use of Expansionary Fiscal

Question 52

Multiple Choice

One of the implications of ongoing use of expansionary fiscal policy is that it would:


A) allow an unemployment rate of zero to be maintained.
B) lead net exports to be a smaller and smaller portion of overall economic activity.
C) allow the government to prevent crowding out.
D) prevent the government from always maintaining a balanced budget.

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