Which of the following statements is true?
a. Fiscal policy is the manipulation of the nation's money supply to influence the nation's output, employment and price level.
b. Discretionary fiscal policy is the deliberate use of changes in government spending and taxes to stabilize the economy.
c. The tax multiplier is the change in aggregate demand resulting from an initial change in government spending.
d. A budget deficit exists when government tax revenues exceed government spending.
b
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Refer to Table 7-6. Which country has a comparative advantage in producing belts?
A) Estonia B) Morocco C) both countries D) neither country
If you go to Europe to work and send funds home to your family living in the United States, this is known as a
A) service import. B) merchandise import. C) service export. D) unilateral transfer.
The value of cross elasticity of demand between orange soda and grape soda is
a. negative b. positive c. 0 d. between –1 and 0 e. less than –1
There are fewer than half as many publishers of college textbooks in the United States now as a generation ago. Three companies alone account for almost two-thirds of the sale of new textbooks. This market situation characterized by very few sellers is known as
A. monopolistic competition. B. pure monopoly. C. perfect competition. D. an oligopoly.