If the government wishes to increase the level of real GDP, it might reduce
A. the size of the budget deficit.
B. transfer payments.
C. its purchases of goods and services.
D. taxes.
Answer: D
You might also like to view...
Regarding the output growth slowdown during the 1970s and 1980s, it is true that
a. the slowdown took place in the U.S. but not other developing countries. b. the primary determinant of the slowdown was lower labor productivity growth. c. increases in capital formation did not offset some of the slowdown in labor productivity growth. d. both b and c.
Which of the following institutions is responsible for supervising the banking system of the United States?
a. The Federal Reserve System. b. The Open Market Committee. c. The U.S. Treasury. d. The Federal Deposit Insurance Corporation.
If the economy is at the natural rate of unemployment...
What will be an ideal response?
The quantity supplied of bagels is 100 at the unit price $1. Suppose the price elasticity of supply by the initial value method is 1.5, and you would like to induce sellers to increase the quantity of bagels supplied to 130. Then the new price for bagels must be:
A. $11. B. $10.20. C. $1.20. D. $1.10.