During a recession, if a government uses an expansionary fiscal policy to increase GDP, the:
A. aggregate supply curve will shift to the right.
B. aggregate supply curve will shift to the left.
C. aggregate demand curve will shift to the left.
D. aggregate demand curve will shift to the right.
Answer:D
During a recession, if a government uses an expansionary fiscal policy to increase GDP, the:
A. aggregate supply curve will shift to the right. B. aggregate supply curve will shift to the left. C. aggregate demand curve will shift to the left. D. aggregate demand curve will shift to the right.
Explanation: Type: Multiple Choice