Which combination of fiscal policy actions would most stimulate an economy in a deep recession?

Ongoing inflation has its own momentum because

a. prices rise whenever firms see other prices rising b. the public learns to expect inflation and adjusts its decisions in response c. public officials are unwilling to stop prosperity d. more and more people now have jobs e. we are always playing catch up, trying to get what we lost when others raise prices

Marginal damages

A. must always be considered in social marginal costs. B. must not be considered in social marginal costs. C. must sometimes be considered in social marginal costs. D. have nothing to do with social marginal costs.