If the government engages in contractionary fiscal policy a likely reason would be:
A. the economy is operating at a level that is just below full employment.
B. they think the economy is not growing fast enough and they want to speed it up.
C. they think the economy is growing too quickly and they want to slow it down.
D. people are not spending enough money and they want to boost spending.
Answer: C
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The Sherman Act of 1890 and the Clayton Act of 1914 were Antitrust Acts whose purposes included all of the following except
(a) The maintenance of a competitive economy (b) The prevention of monopolies, combinations and other conspiracies in restraint of trade (c) The prevention of price discrimination that reduces competition (d) The prevention of labor union activity that reduces competition in the labor market
Refer to the table below. Relative to Free Cows, the quantity that maximizes the expected profit for Happy Cows is ________ sensitive to demand changes, which makes an accurate forecast ________ valuable to the managers of Happy Cows.
Happy Cows and Free Cows are two separate perfectly competitive dairy farms. The table above shows the respective firms' marginal cost at various production levels.
A) less; more
B) more; less
C) more; more
D) less; less
"My brother is better at cooking, better at cleaning, and better at fixing the car than I am." Relative to me, my brother has
A) an absolute advantage in cooking, cleaning, and car repair. B) a comparative advantage in cooking, cleaning, and car repair. C) more intelligence than me. D) more income than me.
Suppose Chip's Chips produces bags of potato chips. An example of a fixed cost for this company would be:
A. the factory building. B. the deep fryer. C. a potato peeling machine. D. All of these are examples of fixed costs.