The increase in the amount that the government collects in taxes when the economy expands and the decrease in the amount that the government collects in taxes when the economy goes into a recession is an example of
A) discretionary monetary policy.
B) the discretionary multiplier effect.
C) discretionary fiscal policy.
D) automatic stabilizers.
D
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M2 ________
A) does not include currency B) does not include traveler's checks C) is a broader measure of money than M1 D) does not include checking deposits held at credit unions
If demand is inelastic, the absolute value of the price elasticity of demand is
A) one. B) less than one. C) greater than one. D) greater than the absolute value of the slope of the demand curve.
In a labor-market pooling equilibrium with high-skill and low-skill workers and where a costly educational degree is used as a signaling device, all else equal, an increase in the wage differential between high- and low-skill workers leads to
A) an increase in the required minimum share of high-skill workers. B) a decrease in the required minimum share of high-skill workers. C) no change in the required minimum share of high-skill workers. D) None of the above answers are correct.
Orders can lose accuracy:
a. if they are too complicated. b. as they are transmitted within the organization. c. in organizations where decision-making is decentralized. d. unless they are given to the right recipient.