During the current global pandemic, the governments of all major economiessearched for policy responses to dampen the negative impacts to the economy. Ingeneral, governments are aiming toshift the AS curve to the right through large increases in government spending.increase potential GDP.O shift the AD curve to the right through large increases in government spendingand tax transfers.Opush up the factor prices.

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During the current global pandemic, the governments of all major economies searched for policy responses to dampen the negative impacts to the economy. In general, governments are aiming to O shift the AS curve to the right through large increases in government spending. increase potential GDP. O shift the AD curve to the right through large increases in government spending and tax transfers. push up the factor prices.

During the current global pandemic, the governments of all major economies searched for policy responses to dampen the negative impacts to the economy. In general, governments are aiming to O shift the AS curve to the right through large increases in government spending. increase potential GDP. O shift the AD curve to the right through large increases in government spending and tax transfers. push up the factor prices.

Brief Principles of Macroeconomics (MindTap Course List)

8th Edition

ISBN:9781337091985

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter18: Six Debates Over Macroeconomic Policy

Section: Chapter Questions

Problem 2CQQ

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