Expansionary fiscal policy when the economy is below full employment


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Expansionary fiscal policy when the economy is below full employment​ ______ aggregate demand and real​ GDP, and the price level​ ______. A. does not​ change; does not change B. ​decreases; falls C. ​increases; falls D. ​increases; rises

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The answer is:

Expansionary fiscal policy when the economy is below full employment ___ aggregate demand, ___ real GDP, and the price level ___.

increases; increases; rises (in that order).

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