1075
AVMultiple Choice

Prescriptive Test

Question 1075 • English Language Arts 10 - Second Semester

When the government injects money into the economy, consumers may have more disposable income, which may lead to

Answer
A
higher unemployment.
B
higher production.
C
lower production.
D
increases in taxes.

Explanation

When government spending adds money to the economy, consumers may have more disposable income and spend more. The increased demand for goods and services can encourage businesses to produce more, so the likely result is higher production, not lower production or higher unemployment.

AI-written and checked against the verified answer.

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