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Conventional Monetary and Fiscal Policies During a Financial Crisis Are

Question 87

Multiple Choice

Conventional monetary and fiscal policies during a financial crisis are aimed at _____, while acting as a lender of last resort or injecting government funds into the financial system during a financial crisis is aimed at _____.


A) increasing output; reducing inflation
B) expanding aggregate demand; fixing the financial system
C) increasing corporate wealth; increasing household wealth
D) expanding aggregate supply; reducing the national debt

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