Which Combination of Policies Would Provide the Greatest Stimulus to Domestic

Multiple Choice

Which combination of policies would provide the greatest stimulus to domestic employment and output in the short run?

A) raising trade barriers on imports and subsidizing exports
B) raising trade barriers on imports and imposing special taxes on exports
C) lowering trade barriers on imports and imposing special taxes on exports
D) lowering trade barriers on imports and subsidizing exports
E) subsidizing imports and imposing special taxes on exports