The time required to acquire information about the state of the economy is known as
A. the action lag.
B. the bureaucy lag.
C. the data lag.
D. the recognition lag.
Answer: D
You might also like to view...
When real Gross Domestic Product (GDP) exceeds total planned real expenditures,
A) a higher level of equilibrium real Gross Domestic Product (GDP) will prevail. B) the circular flow will increase. C) a lower level of equilibrium real Gross Domestic Product (GDP) will result. D) there will be unplanned decreases in inventories.
Refer to Table 16-2. Consider the hypothetical information in the table above for potential real GDP, real GDP, and the price level in 2016 and in 2017 if Congress and the president do not use fiscal policy
If Congress and the president want to keep real GDP at its potential level in 2017, they should A) decrease government purchases. B) buy Treasury securities. C) decrease the discount rate. D) conduct expansionary fiscal policy.
Since externalities tend to keep markets from reaching a socially optimal equilibrium, government action
a. is always needed because private solutions can never be attained. b. is needed when private solutions fail to arise. c. will be needed only to correct for positive externalities. d. will be needed only to correct for negative externalities.
Define horizontal equity and briefly describe some features of the U.S. federal income tax system that may interfere with achieving it