A Job Creation through Entrepreneurship Act, debated in the House ...

[HudsonKB16]

A Job Creation through Entrepreneurship Act, debated in the House of Representatives in 2009, would award grants to small business owners, some of which would be aimed at women, Native Americans, and veter-ans.
 
  The Act would provide 189 million in 2010 and 531 million between 2010 and 2014 . Explain how you would expect this Act to influence what, how, and for whom goods and services are produced in the United States.

Question 2

Pegging a country's exchange rate to the dollar can be advantageous in all of the following situations except
 
  A) if investors believe the dollar to be more stable than the domestic country's currency.
  B) if a country wishes to conduct independent monetary policy.
  C) if imports are a significant fraction of the goods the country's consumers buy.
  D) if the country has extensive trade with the United States.

[gabrielle_lawrence]

Answer to Question 1

The answer to the what question would change because more of the goods and services produced by the groups receiving the grantssmall business owners, particularly women, Native Americans, and veteranswould be produced. If these groups of producers produced their goods and services using different technologies than the rest of the producers, then the question of how goods and services would change. For whom goods and services are produced would change because the producers receiving the subsidies would have larger profits and therefore be able to buy more of the goods and services produced.

Answer to Question 2

B