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LO "U 1201 155 146 196 200 215 220 230 370 380 390 400 410 420 430 260 270 28 296 30 310 320 QUESTION 34 Explain the policy implications of the classical economists' beliefs. T T T Arial 3(12pt) T- - E . O 'S Path: P 4 poin Click Save and Submit to save and submit. Click Save All Answers to save all answers, Save All Answers

Answer 1

a) Fiscal policy - much like an individual, the government likewise deals with spending plan constraints. There happens a deficiency when the public expense is more than public revenue.
b) Crowding out - rise in borrowing by government leaves little sources for exclusive loaning.
c) Tax cut enhances residential usage and hence no result on accumulated need.
d) The amount of money is important to factor in figuring out the general price level.