Crowding out will be greater
A) if the economy is in recession, rather than at full employment.
B) the further equilibrium GDP is below potential GDP.
C) the less sensitive consumption spending is to changes in the interest rate.
D) the more sensitive investment spending is to changes in the interest rate.
D
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Assume the United States is the "domestic" country and China is the "foreign" country. Which of the following might increase the real exchange rate between the United States and China?
A) an increase in the price level in the United States. B) an increase in the price level of China C) a depreciation of the dollar D) an appreciation of the yuan
The key elements of the Affordable Care Act (ACA) passed in 2010 included all of the following except:
a. a mandate that required every employer with over 50 full-time workers to provide a qualified health plan at an affordable price, or face penalties. b. the establishment of insurance exchanges where individuals who did not have access to employer-sponsored insurance could receive subsidies to purchase private coverage. c. a federal requirement that states extend Medicaid coverage to individuals with family income less than 138 percent of the federal poverty level. d. expanded insurance regulations include guaranteed issue, guaranteed renewability, and no exclusions for pre-existing conditions. e. price controls on brand name pharmaceuticals
Which of the following is an automatic stabilizer?
a. Unemployment insurance b. Government spending c. Net taxes d. The interest rate e. The minimum wage set by the government
Which of the following could shift the labor supply curve and increase employment?
a. An increase in the number of firms b. An increase in income tax rates c. Increased spending on welfare programs d. Increased federal funding for education e. A decrease in income tax rates