When faced with a recession, the appropriate combination of policies for a government in order to generate a recovery is

When faced with a recession, the appropriate combination of policies for a government in order to generate a recovery is
A . Tax cuts, reduced public expenditure and lower interest rates.
B . Monetary expansion, increases in public expenditure and an appreciation of the exchange rate.
C . Reduction of the fiscal deficit and increased money supply.
D . Tax cuts, monetary expansion and a depreciation of the exchange rate.

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Answer: D