Politicians tend to prefer
a. expansionary fiscal policy over contractionary policy.
b. contractionary fiscal policy over expansionary policy.
c. both contractionary and expansionary fiscal policy.
d. discretionary fiscal policy over expansionary policy.
a. expansionary fiscal policy over contractionary policy.
You might also like to view...
Taxes are the only mechanism by which the federal government earns money
Indicate whether the statement is true or false
Cigarette taxes are viewed as _____
a. regressive b. progressive c. proportional d. non-distortionary
When the budget deficit is the main cause of the trade deficit, governments should take steps to
a. reduce their budget deficits to prevent making their economy vulnerable to a rapid outflow of international financial capital that could bring a deep recession. b. increase their budget deficits to prevent making their economy vulnerable to a rapid outflow of international financial capital that could bring a deep recession. c. reduce their budget deficits to prevent making their economy vulnerable to a rapid inflow of international financial capital that could bring a deep recession. d. increase their budget deficits to prevent making their economy vulnerable to a rapid inflow of international financial capital that could bring a deep recession.
PriceQuantity Demanded$510$420$330$240$150Refer to the table above. Starting at a $5 price, at what price range does demand become inelastic?
A. $3-4 B. $2-3 C. $1-2 D. $4-5