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Author Question: If the federal budget has an actual budget surplus of 75 billion, but a cyclically adjusted budget ... (Read 259 times)

NguyenJ

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  • Posts: 516
on: Jun 29, 2018
If the federal budget has an actual budget surplus of 75 billion, but a cyclically adjusted budget surplus of 50 billion, then the economy must be above potential real GDP.
 
  Indicate whether the statement is true or false

Question 2

How does expansionary monetary policy affect net exports?
 
  A) Expansionary monetary policy reduces exports and increases imports.
  B) Expansionary monetary policy reduces exports and reduces imports.
  C) Expansionary monetary policy increases exports and reduces imports.
  D) Expansionary monetary policy increases exports and increases imports.


dreamfighter72

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Reply #1 on: Jun 29, 2018
Answer to Question 1

TRUE

Answer to Question 2

C


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