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The Price of Imported Oil Rises

Question 24

Multiple Choice

The price of imported oil rises.If the government wanted to stabilize output,which of the following could it do?


A) increase government expenditures or increase the money supply
B) increase government expenditures or decrease the money supply
C) decrease government expenditures or increase the money supply
D) decrease government expenditures or decrease the money supply

Correct Answer:

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