Solution-Stimulate the economy during a recession

Stimulate the economy during a recession

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Reference no: EM131848782

Of the following, which are valid Monetary Policy tools to stimulate the economy during a recession?

i. Lower the federal funds rate

ii. Increase federal spending on infrastructure

iii. Cut federal income tax rates

a. (i) and (ii) but not (iii)

b. (ii) and (iii) but not (i)

c. (i) and (iii) but not (ii)

d. All three: (i),(ii) and (iii)

e. (i) only

f. (ii) only

g. (iii) only

h. None of these are appropriate fiscal policy tools

Reference no: EM131848782

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Stimulate the economy during a recession

Reference no: EM131848782

Reference no: EM131848782

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