According to the Keynesians, a. an easy-fiscal tight-monetary policy

According to the Keynesians,

a. an easy-fiscal tight-monetary policy reduces the trade deficit, such as what occurred during the 1980s.
b. an easy-fiscal tight-monetary policy mix affects the composition of output by encouraging imports of foreign goods and discouraging U.S. exports, as was experienced during the 1980s.
c. there was not a link between the rising government budgetary deficit and the rising trade deficit during the mid-1980s.
d. budget deficits and trade deficits should not be a source of concern

ANSWER

B