Author Question: Some economists argue that the increases in aggregate demand for output spurred by wartime spending, ... (Read 72 times)

Mr. Wonderful

  • Hero Member
  • *****
  • Posts: 866
Some economists argue that the increases in aggregate demand for output spurred by wartime spending, complemented by the strong spending in the private sector, impacted the U.S. economy by
 
  (a) increasing production and employment.
  (b) increasing employment and income.
  (c) increasing income, thus fueling additional spending.
  (d) contributing to all of the above.

Question 2

Supply-side economists
 
  a. focus almost exclusively on the supply-side effects of changes in the money supply.
  b. did not devote much attention to the supply-side effects of changes in income tax rates since the marginal income tax rate is very low and pertained only to the relatively wealthy.
  c. argued that cuts in marginal tax rates had very favorable supply-side effects.
  d. argue that government spending is at least as important as tax rates.



af

  • Sr. Member
  • ****
  • Posts: 356
Answer to Question 1

(d)

Answer to Question 2

C



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

The people with the highest levels of LDL are Mexican American males and non-Hispanic black females.

Did you know?

Adolescents often feel clumsy during puberty because during this time of development, their hands and feet grow faster than their arms and legs do. The body is therefore out of proportion. One out of five adolescents actually experiences growing pains during this period.

Did you know?

When Gabriel Fahrenheit invented the first mercury thermometer, he called "zero degrees" the lowest temperature he was able to attain with a mixture of ice and salt. For the upper point of his scale, he used 96°, which he measured as normal human body temperature (we know it to be 98.6° today because of more accurate thermometers).

Did you know?

Throughout history, plants containing cardiac steroids have been used as heart drugs and as poisons (e.g., in arrows used in combat), emetics, and diuretics.

Did you know?

Vaccines prevent between 2.5 and 4 million deaths every year.

For a complete list of videos, visit our video library