This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: The use of fiscal policy to stabilize the economy is limited because A) changes in government ... (Read 102 times)

cookcarl

  • Hero Member
  • *****
  • Posts: 539
on: Jun 29, 2018
The use of fiscal policy to stabilize the economy is limited because
 
  A) changes in government spending and tax rates have a small effect on interest rates.
  B) the Internal Revenue Service (IRS) resists changes in tax rates because of all the changes they would have to make to the tax code.
  C) changes in government spending and tax rates have a small effect on aggregate demand.
  D) the legislative process can be slow, which means that it is difficult to make fiscal policy actions in a timely way.

Question 2

What are the three main sets of factors that cause the supply and demand curves in the foreign exchange market to shift?
 
  What will be an ideal response?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

GCabra

  • Sr. Member
  • ****
  • Posts: 331
Reply #1 on: Jun 29, 2018
Answer to Question 1

D

Answer to Question 2

The three main sets of factors are changes in the demand for U.S.-produced goods and services and changes in the demand for foreign-produced goods and services; changes in the desire to invest in the United States and changes in the desire to invest in foreign countries; and changes in the expectations of currency traders about the likely future value of the dollar and the likely future value of foreign currencies.


cookcarl

  • Member
  • Posts: 539
Reply 2 on: Jun 29, 2018
Great answer, keep it coming :)

diana chang

  • Member
  • Posts: 288
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

« previous next »
 

Did you know?

Anesthesia awareness is a potentially disturbing adverse effect wherein patients who have been paralyzed with muscle relaxants may awaken. They may be aware of their surroundings but unable to communicate or move. Neurologic monitoring equipment that helps to more closely check the patient's anesthesia stages is now available to avoid the occurrence of anesthesia awareness.

Did you know?

When intravenous medications are involved in adverse drug events, their harmful effects may occur more rapidly, and be more severe than errors with oral medications. This is due to the direct administration into the bloodstream.

Did you know?

Disorders that may affect pharmacodynamics include genetic mutations, malnutrition, thyrotoxicosis, myasthenia gravis, Parkinson's disease, and certain forms of insulin-resistant diabetes mellitus.

Did you know?

It is difficult to obtain enough calcium without consuming milk or other dairy foods.

Did you know?

One way to reduce acid reflux is to lose two or three pounds. Most people lose weight in the belly area first when they increase exercise, meaning that heartburn can be reduced quickly by this method.

environmental policy environmental policy
Reduced mobility in late adulthood often results in more limited activities and smaller social ... Reduced mobility in late adulthood often results in more limited activities and smaller social ...
Reaction limited by substrate concentration Reaction limited by substrate concentration
A Tough Economy ...for students A Tough Economy ...for students
A government of Ontario 364-day T-bills with a face value of $50 000 were purchased on January ... A government of Ontario 364-day T-bills with a face value of $50 000 were purchased on January ...
The constitutional division of Powers Between the National Government and the States The constitutional division of Powers Between the National Government and the States
Video: Brain Anatomy Animation (Part 2 of 2)

For a complete list of videos, visit our video library