Homework Answers
"E"
increasing the taxes and decreasing the government spending will help bringing the deficit in the market. the answer is "E, as this will increase the government revenue and decrease the expenditure.
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Question 24 What is the main way to bring down the deficit? Print money Decrease taxes,...
QUESTION 22 A decrease in the budget deficit a. may increase, decrease, or not affect investment...
QUESTION 22 A decrease in the budget deficit a. may increase, decrease, or not affect investment spending if private saving doesn’t change. b. makes investment spending fall. c. makes investment spending rise. d. does not affect investment spending. QUESTION 23 A larger budget deficit a. raises the interest rate and investment. b. raises the interest rate and reduces investment. c. reduces the interest rate and investment. d. reduces the interest rate and raises investment. QUESTION 24 A government budget deficit...
Question 4 Which factor is an expansionary fiscal policy? A. an increase in taxes that reduces...
Question 4 Which factor is an expansionary fiscal policy? A. an increase in taxes that reduces the budget deficit and decreases consumption B. a decrease in government spending C. an increase in unemployment benefits D. an increase in the money supply that decreases interest rates > Moving to another question will save this response.
1.What could the Federal Reserve have done to fight the Great Depression? a.Increase the money supply...
1.What could the Federal Reserve have done to fight the Great Depression? a.Increase the money supply to reduce the interest rate. b.Increase the money supply to raise the interest rate. c.Decrease the money supply to reduce the interest rate. d.Decrease the money supply to raise the interest rate. 2. How could the government have used fiscal policy to fight the Great Depression? a.Reduce taxes, raise transfers, raise government purchases. b.Reduce taxes, reduce transfers, reduce government purchases. c.Raise taxes, reduce transfers,...
Expansionary fiscal policy ________________ to fight______________. increase the money supply and cut interest rates, recession. decrease...
Expansionary fiscal policy ________________ to fight______________. increase the money supply and cut interest rates, recession. decrease the money supply and raise interest rates, inflation. increase government spending and cut taxes, recession. decrease government spending and raise taxes, inflation.
the choices for each drop down is increase or decrease Please complete the following statements regarding...
the choices for each drop down is increase or decrease
Please complete the following statements regarding the United States government's budget deficit. Suppose the government reduced tax rates while also increasing government spending, raising the budget deficit to 9% of GDP, while nominal GDP is rising at 6% per year. If this policy continues... The budget deficit will... Future tax rates will likely... Future government spending will likely...
empt=475859&cmid=1507980 d. print money. An increase in our federal government's budget deficit will likely: Select one:...
empt=475859&cmid=1507980 d. print money. An increase in our federal government's budget deficit will likely: Select one: a. increase the national debt. b. be less effective in stimulating the economy than the spending multiplier implies because of crowding out. C. decrease borrowing by households and businesses. d. increase interest rates. e. do all of the above. The central bank of the United States is called the: 12:38 % 1 & *
QUESTION 1 Which of the following is an example of an automatic fiscal policy stabilizer? a....
QUESTION 1 Which of the following is an example of an automatic fiscal policy stabilizer? a. Tax revenues fall as real GDP decreases. b. Congress decides to cut spending on national defense. c. Congress cuts individual income tax rates. d. Tax revenues rise after Congress raises corporate tax rates. QUESTION 7 When a country's economy is producing at a level that is less than its potential GDP, the standardized employment deficit will show a ________ than the actual deficit. a....
1. According to the classical dichotomy, when the money supply decreases, ______ will decrease. a. real...
1. According to the classical dichotomy, when the money supply decreases, ______ will decrease. a. real GDP b. consumption spending c. the price level d. investment spending 2. In Zimbabwe in the 1990s the government resorted to printing money to pay the government employees because: a. it was a means to avoid price controls. b. of high rates of inflation. c. of declining tax revenues. D of a need to stimulate the economy. 3. To end a hyperinflation, a government...
Suppose that policymakers want to decrease the fiscal deficit. 3. Suppose that policymakers want to decrease...
Suppose that policymakers want to decrease the fiscal deficit.
3. Suppose that policymakers want to decrease the fiscal deficit A. Use an IS-LM graph to illustrate the effect on equilibrium GDP and interest rates if government spending is decreased, explaining briefly what happens. B. Use an IS-LM graph to illustrate the effect on equilibrium GDP and interest rates if taxes are increased, explaining briefly what happens. C. Suppose the policymakers want to reduce the fiscal deficit without decreasing GDP. Is...
QUESTION 12 In the aggregate expenditure model if the government of Pasedonia decides to increase government...
QUESTION 12 In the aggregate expenditure model if the government of Pasedonia decides to increase government spending by $ 100 billion and to finance this increase in government spending the government of Pasedonia increases taxes by $ 100 billion what effect will this have on the economy? (assume MPC=0.75) O A GDP stays the same OB GDP increases by $ 100 billion OC. GDP will increase by $ 400 billion D.GDP will decrease QUESTION 13 An example of an automatic...
Question 4 Which factor is an expansionary fiscal policy? A. an increase in taxes that reduces the budget deficit and decreases consumption B. a decrease in government spending C. an increase in unemployment benefits D. an increase in the money supply that decreases interest rates > Moving to another question will save this response.
the choices for each drop down is increase or decrease
Please complete the following statements regarding the United States government's budget deficit. Suppose the government reduced tax rates while also increasing government spending, raising the budget deficit to 9% of GDP, while nominal GDP is rising at 6% per year. If this policy continues... The budget deficit will... Future tax rates will likely... Future government spending will likely...
empt=475859&cmid=1507980 d. print money. An increase in our federal government's budget deficit will likely: Select one: a. increase the national debt. b. be less effective in stimulating the economy than the spending multiplier implies because of crowding out. C. decrease borrowing by households and businesses. d. increase interest rates. e. do all of the above. The central bank of the United States is called the: 12:38 % 1 & *
Suppose that policymakers want to decrease the fiscal deficit.
3. Suppose that policymakers want to decrease the fiscal deficit A. Use an IS-LM graph to illustrate the effect on equilibrium GDP and interest rates if government spending is decreased, explaining briefly what happens. B. Use an IS-LM graph to illustrate the effect on equilibrium GDP and interest rates if taxes are increased, explaining briefly what happens. C. Suppose the policymakers want to reduce the fiscal deficit without decreasing GDP. Is...
QUESTION 12 In the aggregate expenditure model if the government of Pasedonia decides to increase government spending by $ 100 billion and to finance this increase in government spending the government of Pasedonia increases taxes by $ 100 billion what effect will this have on the economy? (assume MPC=0.75) O A GDP stays the same OB GDP increases by $ 100 billion OC. GDP will increase by $ 400 billion D.GDP will decrease QUESTION 13 An example of an automatic...
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