Taxes and needs-tested spending work as automatic fiscal policy to dampen the business cycle because taxes _______ during an expansion, and needs-tested spending _______ during a recession.

Fill in the blank(s) with the appropriate word(s).


increase; increase

Economics

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The size of the expenditure multiplier is influenced by

i. the marginal propensity to consume. ii. autonomous spending. iii. the marginal tax rate. A) i only B) ii only C) iii only D) i and iii E) ii and iii

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Excess reserves are equal to:

a. total reserves plus required reserves. b. total reserves multiplied by required reserves. c. total reserves minus loans. d. total reserves minus required reserves. e. required reserves minus loans.

Economics

Which of the following is most likely to prevent a poor country from developing?

What will be an ideal response?

Economics

K - 12 public education in the U.S. is paid for mainly by the _____ tax.

A. income B. sales C. excise D. property

Economics