Appropriate supply-side policy (or policies) during a recession would be to do which of the following?
a. Cut taxes on business.
b. Reduce costly regulations on businesses.
c. Increase government spending.
d. Both a. and b. above are correct.
d
You might also like to view...
Investment spending is procyclical. In the short run, are changes in investment affected more by changes in the expected marginal product of capital, or by changes in the user cost of capital?
What will be an ideal response?
The task of economic regulation is to:
a. protect monopoly profits. b. approximate the results of the competitive market. c. replace competition with government ownership. d. ensure laissez faire. e. increase competition within the market.
Most changes in the money supply are the consequence of a change in the required reserve ratio
a. True b. False
The major categories of federal government spending are
What will be an ideal response?