The one-time tax cuts used by the Bush administration to stimulate the economy in 2008 proved to be very successful
a. True
b. False
Indicate whether the statement is true or false
False
You might also like to view...
Refer to Figure 19-10. Under the Bretton Woods System of exchange rates, if the par exchange rate was $4 per pound in the figure above, then which of the following is true?
A) The Bank of England would have to buy 0.7 million pounds per day with dollars. B) The par exchange rate is below the equilibrium rate, causing a shortage of domestic currency. C) There is a shortage of pounds equal to 0.7 million. D) The Bank of England would have to sell 0.7 million pounds per day in exchange for dollars.
Oligopolists are more sensitive to the pricing and output policies of their rivals when
a. all firms produce identical products b. their products are highly differentiated c. there is freedom of entry and exit d. there are barriers to entry e. there are many firms in the industry
Technological improvement (e.g., better capital equipment) will result in a leftward shift of the marginal revenue product of labor
Indicate whether the statement is true or false
During 2008-2013, the Fed initiated several rounds of "quantitative easing.". Under this policy, the Fed
a. increased its purchases of financial assets and thereby injected additional reserves into the banking system. b. increased its purchases of financial assets, which reduced the reserves available to the banking system. c. reduced its purchases of financial assets and thereby injected additional reserves into the banking system. d. reduced its purchases of financial assets and thereby reduced the quantity of reserves available to the banking system.