Question

Read Eye on Fiscal Stimulus. How big was the fiscal stimulus package of 2008-2009, how many jobs was it expected to create, and how large was the multiplier implied by that expectation? Did the stimulus work? The fiscal stimulus package of 2008-2009 was jobs The fiscal stimulus package of 2008-2009 was expected to create The multiplier implied by that expectation is O A. $65 million O B. $65 billion O C. $787 million O A. 650,000; 0.4 OB. 787,000; -5 O C. 650,000; 1.6 OD. 65,000; 0.4 O E. 65,000; 1.6 O D. $787 billion O E. $100 billion The stimulus the expectations of the Obama administration because O A. did not meet: Congress failed to spend all of the fiscal stimulus O B. did not meet, the multiplier was much smaller than 1.6 OC. met; the multiplier was much smaller than 1.6 OD. met; 650,000 jobs were created by using a combination of discretionary and automatic fiscal policy

Answer 1

Ans.

1. Correct Option is D.$787 billion

It was mainly singed and impletmented to cure recession and this package amounted to 787 million dollars.

2. Correct Option is C.650,000:1.6

Main objected of the package was to create 650,000 jobs so it increases the employment rate drastically.

3. Correct Option is B.

The estimation which was done earlier , failed to meet because the actua multiplier value was close to 0.4 instead of 1.6 . And thatswhy this stimulas package offered by the government failed.

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