Which of the following is an advantage associated with increased government spending?
A)The government is relatively assured that the money will result in a change in economic output
B)The government is relatively assured that the money will not result in a change in economic output
C)Implementation is often delayed
D)Implementation is rarely delayed
E)None of the above

Question

Quizplus · Accepted Answer

Increased government spending can stimulate economic growth and increase aggregate demand by injecting money into the economy. As a result, there is a relatively high likelihood that the increased spending will result in a change in economic output. This can lead to an increase in employment, production, and consumption, which can have a positive impact on the economy.

Which of the Following Is an Advantage Associated with Increased