Economic fine-tuning is the (usually frequent) use of
A) monetary policy that is based on a predetermined steady growth rate in the money supply to counteract even small undesirable movements in economic activity.
B) only fiscal policy to counteract even small undesirable movements in economic activity.
C) monetary and fiscal policies to counteract even small undesirable movements in economic activity.
D) fiscal policy that both balances the budget and counteracts even small undesirable movements in economic activity.
C
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According to new growth theory, technological change is driven by
A) random chance. B) government policies. C) foreign firms' attempts to increase their sales in the domestic market. D) firms' attempts to increase their profit.
A depreciation of the U.S. dollar in the foreign exchange market lowers U.S. Real GDP when the _____________ shift of the SRAS curve exceeds the __________ shift of the AD curve
A) rightward; rightward B) rightward; leftward C) leftward; rightward D) leftward; leftward