When the economy is in a recession, the government can use expansionary fiscal policy to stimulate and encourage economic growth. which of the following scenarios represent expansionary fiscal policies from both a supply perspective and a demand perspective? choose one or more: a. the government raises tax rates and scales back aid to families with dependent children. b. the government lowers tax rates and expands funding for medical research . c. the government lowers tax rates and issues a partial refund of taxes that have already been paid. d. the federal reserve increases the money supply and lowers the interest rate while the government simultaneously reduces future taxes.

The monthly demand equation for an electric utility company is estimated to be p equals 60 minus left parenthesis 10 superscript negative 5 baseline right parenthesis x, where p is measured in dollars and x is measured in thousands of killowatt-hours. the utility has fixed costs of $3 comma 000 comma 000 per month and variable costs of $32 per 1000 kilowatt-hours of electricity generated, so the cost function is upper c left parenthesis x right parenthesis equals 3 times 10 superscript 6 baseline plus 32 x. (a) find the value of x and the corresponding price for 1000 kilowatt-hours that maximize the utility's profit. (b) suppose that the rising fuel costs increase the utility's variable costs from $32 to $38, so its new cost function is upper c 1 left parenthesis x right parenthesis equals 3 times 10 superscript 6 baseline plus 38 x. should the utility pass all this increase of $6 per thousand kilowatt-hours on to the consumers?