If the cyclically adjusted budget shows a deficit of about $100 billion and the actual budget shows a deficit of about $150 billion, it can be concluded that there is:
A. an expansionary fiscal policy.
B. a contractionary fiscal policy.
C. built-in stability.
D. a cyclical deficit.
Answer: D
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Which of the four types of decision makers in the U.S. economy plays the largest role?
a. U.S. firms and government because they produce the products that households consume b. U.S. households because they supply goods to the product markets and are demanders in resource markets c. foreign households, firms, and governments because they greatly outnumber those of the United States d. U.S. firms and government because they create employment for domestic households and produce goods and services e. U.S. households, as buyers in product markets and sellers in resource markets
Greater economic efficiency and income equality can usually both be achieved in an economy simultaneously.
Answer the following statement true (T) or false (F)
Karl Marx published:
A. Das Kapital. B. General Theory of Communism. C. The Wealth of Nations. D. Capitalist Manifesto.
If households believe their incomes will fall in the future, the result is a
A) rightward shift in the supply of loanable funds curve. B) leftward shift in the supply of loanable funds curve. C) movement along the supply of loanable funds curve. D) movement along the demand for loanable funds curve.