« previous next »

Author Question: Suppose the economy is operating below potential output. If policy makers try to avoid a budget ... (Read 69 times)

javeds

  • Hero Member
  • *****
  • Posts: 570
on: Jun 30, 2018
Suppose the economy is operating below potential output. If policy makers try to avoid a budget deficit by raising taxes or reducing government spending, these actions would
 
  A) make a recession worse. B) increase inflation.
  C) negate the multiplier effect. D) help pull an economy out of a depression.

Question 2

The ________ determines the supply of money.
 
  A) Federal Reserve B) banking system C) President D) Congress
Macroeconomics: Principles, Applications and Tools ¦ O'Sullivan, Sheffrin, Perez ¦ 7th Edition
Buy Test-Bank


TDubDCFL

  • Sr. Member
  • ****
  • Posts: 357
Reply #1 on: Jun 30, 2018
Answer to Question 1

A

Answer to Question 2

A


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Drug abusers experience the following scenario: The pleasure given by their drug (or drugs) of choice is so strong that it is difficult to eradicate even after years of staying away from the substances involved. Certain triggers may cause a drug abuser to relapse. Research shows that long-term drug abuse results in significant changes in brain function that persist long after an individual stops using drugs. It is most important to realize that the same is true of not just illegal substances but alcohol and tobacco as well.

Did you know?

Astigmatism is the most common vision problem. It may accompany nearsightedness or farsightedness. It is usually caused by an irregularly shaped cornea, but sometimes it is the result of an irregularly shaped lens. Either type can be corrected by eyeglasses, contact lenses, or refractive surgery.

Did you know?

Green tea is able to stop the scent of garlic or onion from causing bad breath.

Did you know?

People who have myopia, or nearsightedness, are not able to see objects at a distance but only up close. It occurs when the cornea is either curved too steeply, the eye is too long, or both. This condition is progressive and worsens with time. More than 100 million people in the United States are nearsighted, but only 20% of those are born with the condition. Diet, eye exercise, drug therapy, and corrective lenses can all help manage nearsightedness.

Did you know?

Although the Roman numeral for the number 4 has always been taught to have been "IV," according to historians, the ancient Romans probably used "IIII" most of the time. This is partially backed up by the fact that early grandfather clocks displayed IIII for the number 4 instead of IV. Early clockmakers apparently thought that the IIII balanced out the VIII (used for the number 8) on the clock face and that it just looked better.

Water Potential, Solute Potential, and Pressure Potential Water Potential, Solute Potential, and Pressure Potential
Drugs with a potential for abuse are categorized into schedules Drugs with a potential for abuse are categorized into schedules
Action Potential in a Ventricular Fiber Action Potential in a Ventricular Fiber
Let f be a real function with domain R. Suppose that for each ǫ > 0, there is a continuous ... Let f be a real function with domain R. Suppose that for each ǫ > 0, there is a continuous ...
A 2-kg box of taffy candy has 40 J of potential energy relative to the ground. Its height above ... A 2-kg box of taffy candy has 40 J of potential energy relative to the ground. Its height above ...
Predicted polypeptide sequences translated from potential ORFs in the human TUBA3C gene Predicted polypeptide sequences translated from potential ORFs in the human TUBA3C gene
Video: Phases of mitosis

For a complete list of videos, visit our video library