Discretionary fiscal policy entails
A. automatic changes in spending or taxes that occur as economic conditions change.
B. changing government spending or tax policy to offset automatic stabilizers.
C. legislative changes in spending or tax policies.
D. actions exercised by the President alone in the United States.
C. legislative changes in spending or tax policies.
You might also like to view...
Carolyn knows average total cost and average variable cost for a given level of output. Which of the following costs can she not determine given this information?
A) total cost B) average fixed cost C) fixed cost D) variable cost E) Carolyn can determine all of the above costs given the information provided.
Under the Bretton Woods system, a country with a balance of payments deficit
A. could get loans from the U.S. government. B. could devalue if deflationary policies failed to eliminate the deficit. C. was not allowed to devalue under any circumstance. D. was required to devalue its currency immediately.
The simple circular flow of income shows that the total income in an economy equals
A. total profits earned by firms. B. total expenditures. C. the total amount of money supplied by the government. D. all taxes paid by households.
Refer to the information provided in Table 13.4 below to answer the question(s) that follow. Table 13.4Price ($)Quantity20.00118.00216.00314.00412.00510.006 8.007Refer to Table 13.4. If a monopoly faces the demand schedule given in the table and has a constant marginal and average cost of $4 per unit of providing the product, then the monopoly maximizes its profits by charging ________ per unit and selling ________ units of output.
A. $16; 3 B. $12; 5 C. $10; 6 D. $18; 2