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A contractionary monetary policy or a contractionary fiscal policy.

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13y ago

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What action will most likely result in a decrease in the money supply?

A decrease in the money supply is most likely to result from a central bank raising interest rates. When interest rates increase, borrowing becomes more expensive, leading to a reduction in consumer spending and business investment. Additionally, higher rates can incentivize saving over spending, further contracting the money supply in circulation. Other actions, such as selling government securities, can also effectively decrease the money supply.


If A decrease in price of a product will result in?

increase in demand and decrease in supply.


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Because immigration can result in an increase in the supply of labor immigration can result in what?

A general decrease in wages. - Apex


An increase in the money supply is likely to decrease?

the prime rate


What would cause a decrease in aggregate supply?

Aggregate supply is the supply of all goods and services within a country. Which of the following would most likely cause a decrease in the aggregate supply


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A general decrease in wages. - Apex


What would most likely decrease the supply of oranges?

a government subsidy


Supply decrease and demand is constant?

If the supply decrease and demand is constant, it will result into higher prices for the good. Ideally, this will automatically make the demand higher than market supply which creates scarcity.


Because immigration can result in an increase in the supply of labor what can immigration result to?

A general decrease in wages. - Apex


What will happen when Aggregate demand and aggregate supply decrease?

When aggregate demand and aggregate supply both decrease, the result is no change to price. As price increases, aggregate demand decreases, and aggregate supply increases.


Result in a decrease in the money supply?

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