Policy Making Exercise, management homework help

*Instructions: Please read the unit material attached and answer the following questions or analysis thoroughly. Minimum word count is 300 total. Use APA format to include in-text citations and a reference page. You must include the course material provided as a reference. Here is the reference: Sexton, R. L. (2013). Exploring economics (6th ed.). Mason, OH: South-Western, Cengage Learning. Also, an outside scholarly source is required, at least one. Separate your answers by paragraphs please. NO PLAGIARISM PLEASE! Let me know if you have any questions or concerns. Thank you!

Using what you read in this unit, choose an expansionary FISCAL policy that you would recommend to help an economy that is in a recession. This should be a specific action that government could take to increase GDP.  You should NOT choose a monetary policy (i.e. interest rate manipulation, selling of bonds, or printing of money).

Explain how your policy would help increase aggregate demand. That is, does it increase C, I, G, or X?

Explain what would happen to prices (i.e. inflation).

You must use either the Modern Keynesian model or the Classical Model to conduct your analysis. Just be sure to note which one you are using.

 

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