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In order to implement expansionary policy, the goverment and Central Bank must government spending, taxes, and interest rates. A increase, increase increase B. increase decrease, decrease C. decrease increase increase D. decrease decrease, decrease​

Answers

Answer 1

Answer:

B. increase decrease, decrease

Explanation:

Expansionary policies are measures aimed at stimulating economic growth. They are applied during times of recession and depression. Expansionary policies work by increasing the money supply in the economy. These policies increase liquidity in the market, thereby increasing the demand for goods and services.

Increasing government spending is an expansionary fiscal policy. Increased spending means releasing more money into the economy.   Decreasing taxes imply individuals and business will pay lower taxes than before. The results in an increase in disposable income and an increase in demand.

The interest rate represents the cost of borrowing money. When the interest rates are high, individuals and businesses find borrowing uneconomical. When the interests are decreased, the cost of borrowing reduces, which encourages increased borrowing for consumption and investments.

Related Questions

Even if a company has accurate sales forecast information calculated from multiple methods and based on solid data, the company should:

Answers

Answer:

prepare for multiple possible scenarios so it can react to whatever happens in the market

Explanation:

Sales forecast is a method of predicting futures sales volumes and patterns. It is used by businesses to make informed decisions on resource allocation.

Sales forecast determines short term and long term performance of the business.

However having accurate sales forecast information calculated from multiple methods and based on solid data does not give full assurance based on fluctuating market forces.

The business will need to prepare for multiple possible scenarios so it can react to whatever happens in the market.

A company should be prepared by ensuring proactiveness to other possible

conditions not contained in the forecast.

A company having accurate sales forecast information calculated from

multiple methods and based on solid data doesn't guarantee that deviations

can't occur. Sales information can only be forecasted and other activities  can alter the speculated sales information.

For example, the lockdown during the cov-id era caused most

shops to be shut down as a result of the self isolation carried out in

respective homes. This is a deviation in the norm and companies who

weren't prepared for it ran into debts and became liquidated.

Read more on https://brainly.com/question/19533684

I NEED HELP!! THIS IS SO CONFUSING!!

Answers

Explanation:

AD decreas price level increases and real GDP increase

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