During a severe recession, the government decides to lower its tax rates to give consumers relief, and allow them to pay less in taxes. This is an example of:
A. discretionary fiscal policy.
B. an automatic stabilizer.
C. contractionary fiscal policy.
D. expansionary fiscal policy.
A. discretionary fiscal policy.
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Estimating the value of an injured or deceased person's life by calculating what he or she would have earned over the remainder of his or her life is called the
A) compensating differential approach. B) death-and-taxes approach. C) lost-income approach. D) earnings-bracket approach.
The Denver Broncos is a football team in the NFL, the Colorado Crush was an arena football team, and the Highlands Ranch Falcons is a local High School team
Broncos tickets cost about $415, Crush tickets cost between $30 and $85 and Falcons tickets are $6. What does marginal utility theory predict about the marginal utility per dollar from each of these football games? A) The marginal utility per dollar will be greatest for the Broncos. B) The marginal utility per dollar will be equal for all games. C) The marginal utility per dollar will be greatest for the Crush. D) The marginal utility per dollar will be greatest for the Falcons.
According to ________, the economy is normally at potential GDP
A) real business cycle models B) the adaptive expectations theory C) the short-run Phillips curve D) new Keynesian economists
Arrow's impossibility theorem proves that a. no voting system can satisfy several preferable properties at the same time
b. politicians will never be able to satisfy the median voter. c. politicians will never be able to act fully in the best interests of the public good. d. no voting system will ever depend on the median voter.