The situation in which expansionary fiscal policy does not lead to a rise in aggregate output is referred to as
A) fiscal neutrality.
B) a recession.
C) complete crowding out.
D) inflation.
C
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The benefit of the production of capital is
a. decreased current production of consumption goods b. increased future production of consumption goods c. the amount of roundabout production d. abundant capital accumulation e. the decreased amount of future capital available
Education is subsidized because it generates beneficial externalities
a. True b. False Indicate whether the statement is true or false
Consumer Reports' reviews of products:
A. allow more transactions that are valuable to buyers and sellers to take place. B. reduce an inefficiency in the market. C. credibly provide more information to market participants. D. All of these statements are true.
Decreasing returns to capital (N) implies that a 4% increase in N will cause
A) Y to increase by more than 4%. B) Y to increase by exactly 4%. C) Y to increase by less than 4%. D) no change in Y/N.