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Suppose that Australia and New Zealand enter a recession due to COVID-19 pandemic, decreasing Fiji's sugar exports. To move Fiji's GDP back to potential GDP,

Suppose that Australia and New Zealand enter a recession due to COVID-19 pandemic, decreasing Fiji's sugar exports. To move Fiji's GDP back to potential GDP, the Reserve Bank of Fiji should

Select one:

a. increase the government's budget deficit.

b. decrease the government's budget deficit.

c. lower the Overnight Policy Rate.

d. keep the Overnight Policy Rate stable.

e. raise the Overnight Policy Rate.

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