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MMLU / Which of the following lessens the impact of expansionary fiscal policy?

Problem

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question

Which of the following lessens the impact of expansionary fiscal policy?

choices

  1. An increase in the marginal propensity to consume.
  2. Lower interest rates that cause a decrease in net exports.
  3. Higher interest rates that cause an increase in net exports.
  4. Higher interest rates that decrease private investment.

subject

high_school_macroeconomics

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