The intent of contractionary fiscal policy is to:
A. Increase aggregate demand
B. Decrease aggregate demand
C. Increase aggregate supply
D. Decrease aggregate supply
B. Decrease aggregate demand
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Explain the optimal strategy that a price discriminating firm would use when pricing in markets with different elasticities
What will be an ideal response?
________ policy focuses on the nation's money supply, while ________ policy focuses on the government's budget.
A. Fiscal; monetary B. Fiscal; structural C. Monetary; structural D. Monetary; fiscal
Entitlements have a great deal in common with
A. private savings plans. B. defined benefit pension programs. C. defined contribution programs. D. Ponzi schemes.
The production possibilities curve shows all possible combinations of
A) two goods that are desired by society. B) two goods that can be efficiently produced with a given set of resources. C) two goods that can be purchased given the prices of the goods. D) two goods that two countries can trade with each other.