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
Answer: B
Economics
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The world has had a freely floating exchange rate system since
A. 1933. B. 1946. C. 1964. D. 1973.
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Changes in taxes or spending levels that stimulate aggregate demand without the passage of any new laws are called _____
a. expenditure multipliers b. discretionary monetary policies c. discretionary fiscal policies d. automatic stabilizers
Economics
So in equilibrium
What will be an ideal response?
Economics
The average tax rate is calculated as
A) total income divided by the total tax paid.
B) the change in income divided by the change in total tax paid.
C) total tax paid divided by total income.
D) the change in total tax paid divided by the change in income.
Economics