1 2 3 4 . . 21. In the middle of a severe recession, the Government greatly increases spending and lowers taxes. This strategy follows which economic theory? a. Marxism b. Malthusian c. Mercantilism d. Keynesian 22. When two large competitors consolidate into one company, the result is called a. a conglomerate merger b. a vertical merger c. a horizontal merger d. a monopoly 23. The merger of Victoria's Secret (a lingerie retailer) with a company that owns factories which produce clothing is an example of a. a conglomerate merger b. a vertical merger