According to Keynesian theory, the correct fiscal policy to stimulate the economy would be to: Raise taxes to increase aggregate demand. Increase the money supply to increase aggregate supply. Increase government expenditures to increase aggregate demand. Lower taxes to increase aggregate supply. QUESTION 11 Choose the letter below that best represents the type of shift that would occur in each situation in the United States. Figure 1 Shifts of aggregate supply and demand OPEC raises the price of oil significantly. A. B. C. D. OPEC raises the price of oil significantly. A. B. C. D. QUESTION 12 Choose the letter below that best represents the type of shift that would occur in each situation in the United States. Figure 1 Shifts of aggregate supply and demand A technological breakthrough significantly reduces the cost of computerizing production lines. A. B. C. D. According to Keynesian theory, the correct fiscal policy to stimulate the economy would be to: Raise taxes to increase aggregate demand. Increase the money supply to increase aggregate supply. Increase government expenditures to increase aggregate demand. Lower taxes to increase aggregate supply. QUESTION 11 Choose the letter below that best represents the type of shift that would occur in each situation in the United States. Figure 1 Shifts of aggregate supply and demand OPEC raises the price of oil significantly. A. B. C. D. OPEC raises the price of oil significantly. A. B. C. D. QUESTION 12 Choose the letter below that best represents the type of shift that would occur in each situation in the United States. Figure 1 Shifts of aggregate supply and demand A technological breakthrough significantly reduces the cost of computerizing production lines. A. B. C. D