One way the government can boost the economy out of a recession is:
A. with public announcements telling the public to save their money.
B. by increasing government spending.
C. by setting price ceilings on most goods so people can afford them.
D. None of these will help an economy in recession.
Answer: B
You might also like to view...
The vicious cycle of poverty refers to the fact that LDCs are poor because other countries do not want to buy their goods and services
Indicate whether the statement is true or false
Answer the following statements true (T) or false (F)
1)Loans made to customers are a liability on a bank's balance sheet. 2) Checkable deposits are a liability on a bank's balance sheet. 3) The supply of money increases when the public buys government securities from commercial banks. 4) Commercial banks increase the supply of money when they purchase either personal IOUs or government bonds from businesses and households.