Multiple Choice
Suppose there is an increase in government spending.To stabilize output,the Federal Reserve would
A) increase government spending.
B) increase the money supply.
C) decrease government spending.
D) decrease the money supply.
Correct Answer:

Verified
Correct Answer:
Verified
Q63: Some economists argue that<br>A)monetary policy should actively
Q64: For the following questions,use the diagram below:<br>Figure
Q65: Suppose investment spending falls.To offset the change
Q66: One of President Obama's first fiscal policy
Q68: During periods of expansion,automatic stabilizers cause government
Q69: For the following questions,use the diagram below:<br>Figure
Q70: According to a 2009 article in The
Q72: Other things the same,during recessions taxes tend
Q73: Automatic stabilizers<br>A)increase the problems that lags cause
Q146: Critics of stabilization policy argue that<br>A)policy affects