Multiple Choice
Use the following to answer questions :
Figure: Fiscal Policy and the End of the Great Depression
-(Figure: Fiscal Policy and the End of the Great Depression) Look at the figure Fiscal Policy and the End of the Great Depression. The period from 1939 through 1943 would seem to indicate that in the short run a large increase in government deficit spending can _____ the unemployment rate.
A) reduce
B) increase
C) not affect
D) reduce or increase
Correct Answer:

Verified
Correct Answer:
Verified
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