A major complication with fiscal policy to control aggregate demand is the
a. inability to agree on macroeconomic goals.
b. accuracy of modern forecasting models.
c. inability to change aggregate demand with fiscal tools.
d. constantly changing investment and net exports because of other events.
d
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When a tax is imposed on a good or a service, the marginal benefit of the last unit bought ________ the marginal cost of the last unit
A) is equal to B) is greater than C) is less than D) None of the above answers is correct because there is no consistent relationship between the marginal benefit of the last unit and its marginal cost. E) is not able to be compared to
On the eve of the American Revolution, most colonials produced agricultural goods. The war boosted profits for many farmers
Indicate whether the statement is true or false
The Organization of Petroleum Exporting Countries (OPEC) is an example of a(n)
A) oil monopoly. B) cartel. C) competitive arrangement. D) prisoner's dilemma.
The above figure shows the market for a particular good. If the market is controlled by a perfect-price-discriminating monopoly, compared to a perfectly competitive market, the change in consumer surplus is
A) A. B) A + B + C. C) A + B + C + D + E. D) zero.