If the economy has an inflationary GDP gap, one possible solution is to increase government expenditures.
Answer the following statement true (T) or false (F)
False
Increasing government expenditures will further increase the magnitude of the inflationary GDP gap. Fiscal restraint is tax hikes or spending cuts intended to reduce (shift) aggregate demand.
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Which of the following increases the quantity supplied of agricultural goods?
A) acreage allotments B) assigning market quotas C) agricultural price supports D) a, b, and c
In Zimbabwe, at the height of the feedback loop:
A. prices were increasing by 7.6 billion percent per month. B. real GDP was increasing by 7.6 billion percent per month. C. the money supply was increasing by 7.6 billion percent per month. D. the velocity of money was increasing by 7.6 billion percent per month.
Refer to Tax Problem. If the government imposes a $10 per unit consumption tax, then how much consumer surplus will there be after the tax.
Consider a perfectly competitive market were demand is Q = 100 - P and Supply is Q = P - 10. a. 600. b. 800. c. 1000. d. 1600.
In the figure above, the United States ________ airplanes per year
A) imports 500 B) exports 500 C) exports 400 D) imports 400 E) exports 200