Fiscal policy attempts to make access to credit easier and cheaper
Indicate whether the statement is true or false
F
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Starting from long-run equilibrium, a war that raises government purchases results in ________ output in the short run and ________ output in the long run.
A. lower; potential B. higher; potential C. higher; higher D. lower; higher
"Reducing taxes increases incentives to work and save.". This view is typically associated with
a. Keynesian economics. b."Reagonomics.". c. Johnson's "Great Society" policies. d. the Carter administration.
In the market for loanable funds, the demand curve:
A. represents savers. B. is downward sloping. C. reflects that more people will choose to save the higher is the interest rate. D. is upward sloping.
In its most ideal form, a price system allows
A) firms to act in such a way that they eliminate scarcity. B) consumers to satisfy all their wants. C) resources to move from lower-valued uses to higher-valued uses through voluntary exchange. D) government policy makers to allocate resources to the uses which they consider to be in the best interests of society.