An example of expansionary fiscal policy would be
A) a decrease in government spending to reduce budget deficits.
B) an increase in tax collection to reduce budget deficits.
C) a decrease in interest rates to help stimulate the economy.
D) an increase in government spending on infrastructure to create jobs and improve the economy.
D
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Explain the problem encountered by successive monopolies? How can the supplier and the producer overcome this problem?
Given the scenario described, if the market price of hammers increased from $6 to $7:
Assume there are three hardware stores, each willing to sell one standard model hammer in a given time period. House Depot can offer their hammer for a minimum of $7. Lace Hardware can offer the hammer for a minimum of $10. Bob's Hardware store can offer the hammer at a minimum price of $13. A. total producer surplus would increase. B. total producer surplus would remain unchanged. C. total producer surplus would decrease. D. total producer surplus cannot be determined with the information given.