A government using fiscal policy in an attempt to stimulate the economy would do which of the following?
A. Raise taxes.
B. Raise interest rates.
C. Lower interest rates.
D. Raise government spending.
Answer: D
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Keynes believed that an important source of instability in the economy was instability
a. of private investment demand. b. in the marginal propensity to consume (b). c. of expectations. d. in tax collections. e. Both a and c
Supply-side economists:
a. saw influence beyond in both the Bush and Clinton administrations. b. disagreed with economist Arthur Laffer's views on taxes. c. were influential in President Reagan's decision to change the tax structure. d. believe that government regulations do not reduce productivity and undermine industrial efficiency.
The supply schedule and the supply curve are just two __________ ways of showing the same information.
a. numeric b. graphical c. identical d. different
A firm produces 300 products with 50 workers and 20 machines. When it doubles its inputs to 100 workers and 40 machines, production more than doubles to 700 products. This is an example of: