44
QuizMultiple Choice

N/A — Exam

Question 44 • CMS 2026-2027 Economics and Personal Finance HONORS INITIAL CREDIT

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

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

Explanation

When consumers have more disposable income, they can spend more on goods and services. This increase in demand may encourage businesses to produce more to meet customers’ needs, leading to higher production. It does not necessarily cause taxes to increase or unemployment to rise.

AI-written and checked against the verified answer.

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