Author Question: Given full-employment output = 2,800, equilibrium output = 2,500, and MPS = 0.25, which of the ... (Read 116 times)

tiffannnnyyyyyy · **on:** Jun 30, 2018

Given full-employment output = 2,800, equilibrium output = 2,500, and MPS = 0.25, which of the following changes would most likely bring the economy to a full-employment level of national output?
a. 300 decrease in taxes.
b. 75 increase in government spending.
c. 75 decrease in taxes.
d. 300 increase in government spending.
e. 75 decrease in government spending.

Question 2

The Federal Reserve System is owned by:
a. federal government agencies such as the Treasury.
b. the Congress of the United States.
c. the banks that are members of the Federal Reserve System.
d. anyone who buys stock over the counter.
e. people who have deposits in member banks.