A contractionary fiscal policy is likely to
A) reduce a government budget deficit and reduce borrowing by the Treasury.
B) increase a government budget deficit and increase borrowing by the Treasury.
C) reduce a government budget deficit and increase borrowing by the Treasury.
D) increase a government budget deficit and reduce borrowing by the Treasury.
Ans: A) reduce a government budget deficit and reduce borrowing by the Treasury.
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Suppose that there are only three consumers of a product. At a price of $6 per unit, the first consumer would buy 12 units of the product, the second consumer would buy 8 units, and the third consumer would buy 3 units of the product
If you drew a market demand curve for this product, the quantity demanded at a price of $6 would be A) 23 units. B) 20 units. C) 12 units. D) 11 units.
If a savings account pays 5 percent annual interest, then the rule of 70 tells us that the account value will double in approximately 14 years
a. True b. False Indicate whether the statement is true or false
When considering whether to migrate to a particular location, one calculates the present value of living in that location. How does one best calculate the present value of living in a location?
A. Determine the starting wage one will earn in the location. B. Sum up the annual incomes one will earn in the location. C. Subtract one's wage in the new location from the starting wage in the current location. D. Sum the annual discounted incomes one will earn in the location. E. Subtract one's wage in the current location from the starting wage in the new location.
What would we have to assume before constructing a society's production possibilities frontier?
What will be an ideal response?