Economist B says all of the following: Expansionary fiscal policy is needed to raise aggregate demand and remove the economy from a recessionary gap. The choice of fiscal policy measures is between more government spending and a ___________ in taxes. Since I am in favor of smaller government, I choose a __________________ in __________________
A) rise; decrease; government spending
B) rise; cut; taxes
C) decrease; rise; government spending
D) decrease; cut; taxes
E) none of the above
D
Economics
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Which of the following is the best synonym for "marginal" in economics?
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In the model of an oligopoly with identical (homogeneous) products, what is the price likely to be?
What will be an ideal response?
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The kind of assets banks can hold as reserves are also called the economy's
A) checkable deposits. B) money market funds. C) high-powered money. D) bankers' acceptances.
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Aluminum cannot be produced without bauxite. Hence, the price elasticity of demand for bauxite by aluminum manufacturers will be
A) perfectly elastic. B) elastic. C) inelastic. D) unitary elastic.
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