The democratic political process operating at the national level tends to result in
A) balanced budgets.
B) deficits.
C) surpluses.
D) surpluses alternating with deficits in a countercyclical manner.
B
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Of the various types of economic systems, pure market capitalism involves the greatest government interference and control over the economy
a. True b. False
Which of the following economic systems answers the basic economic questions by copying the previous generation?
a. Traditional economy. b. Command economy. c. Market economy. d. Capitalism.
Which of the following statements is not true with regard to automatic stabilizers? a. The most important automatic stabilizer is the tax system
b. They act as shock absorbers to the economy. c. They require legislative action. d. Automatic stabilizers like government transfer payments change as business cycles conditions change.
Carefully define the following terms and explain their importance in the study of macroeconomics: a. Expenditure schedule b. Saving schedule c. Equilibrium GDP d. Leakages schedule e. Injections schedule
What will be an ideal response?