Economist B says all of the following: The economy needs expansionary fiscal policy to remove it from a recessionary gap. Government should either raise its __________ or cut _________________. I believe the tax multiplier is larger than the government spending multiplier, so I suggest government ___________________
A) taxes; spending; cut taxes
B) spending; taxes; cut taxes
C) taxes; spending; raise spending
D) spending; taxes; raise spending
E) none of the above
B
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If the face value of a bond is $10,000,000, the coupon rate is 7%, and the inflation rate is 4%, then the annual coupon payment made to the holder of the bond is
A. $400,000. B. $700,000. C. $70,000. D. $300,000.
If the price elasticity of demand for a good is greater than one in absolute terms, we say that demand is
A) elastic. B) inelastic. C) perfect. D) vertical.
Which of the following taxes is most likely to be shifted?
a. a property tax on an owner-occupied residence b. a progressive income tax c. a flat-rate state income tax d. a general sales tax
Think about opportunity coast in this question: A fish hatchery raises brook trout and rainbow trout. An increase in the market price of brook trout therefore tends to
What will be an ideal response?