If the government fiscal deficit equals $78 billion, government borrowing equals $38 million, and tax revenue equals $92 billion, what is the value of the change in the money supply?
a. $40 billion
b. $132 billion
c. $18 billion
d. $208 billion
e. $78 billion
a
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Bo's actions would
A) have no impact on the September unemployment rate or the October unemployment rate. B) raise the September unemployment rate and lower the October unemployment rate. C) raise the September unemployment rate and not change the October unemployment rate. D) classify him as out of the labor force in September. E) raise the September unemployment rate and the October unemployment rate.
Tim Tupper contracts with two other students to help him provide a term paper-typing service. In the last two weeks of the semester, he sees a tremendous increase in demand. His profit-maximizing response would be represented by
a. a rightward shift of the supply curve because it is possible to earn economic profits b. a rightward shift of the supply curve because the increase in demand is probably only temporary c. a reduction in supply to take full advantage of the increase in demand d. a movement up to the right along the supply curve because the increase in demand is probably only temporary e. an upward movement in horizontal demand curve he faces because now he can charge a lower price
A tax cut designed to encourage investment and stimulate economic growth
a. must be matched by a cut in government spending in order to be effective b. must be matched with tax increases in other areas, or with a cut in government spending, if crowding out is to be avoided c. will only work if it decreases the size of the budget deficit d. can only be effective if the tax burden is redistributed or government spending is cut e. will only work if it is a cut in the capital gains tax
The idea that investment in comprehensive education in developing countries leads to permanent increases in the rate of technological progress is an example of:
A. increasing economic inequality. B. capital deepening. C. new growth theory. D. a trade-off between human capital and technology.