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The United States is operating at a point below its production possibilities curve.

All else being equal, what tool of Monetary Policy should be used to return to a point on the curve?

A

Fund shovel-ready construction projects such as new interstate highway exits to get money flowing.

B

Decrease personal income taxes.

C

Increase government sponsored welfare programs.

D

Buy bonds on the open market.

E

Decrease the supply of money.

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