The Keynesian approach to fiscal policy calls for:
a. budget deficits during periods of inflationary pressure.
b. budget surpluses during periods of high unemployment.
c. a balanced budget despite the state of the economy
d. tax cuts during recession.
e. spending increases during inflation.
d
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Nontariff barriers to trade are less transparent than tariffs
Indicate whether the statement is true or false
Which of the following did NOT contribute to "internal economies" in the industrialization process?
(a) Diminishing returns to scale (b) Central power sources (c) Managerial improvements (d) Transportation networks
To a firm facing constant input prices, increasing marginal returns
a. means that each additional unit of output costs more to produce than the previous unit b. means that the marginal product of the variable input decreases as more of the input is used c. can occur due to specialization and division of labor d. usually occur at very high rates of output e. can never occur
A market with more than one seller and significant barriers to entry is called
a. perfect competition b. monopolistic competition c. an oligopoly d. collusive e. regulated