Author Question: The Keynesian model of macro equilibrium provided an explanation for the: a. high rates of both ... (Read 73 times)

oliviahorn72 · **on:** Jun 30, 2018

The Keynesian model of macro equilibrium provided an explanation for the:
a. high rates of both unemployment and inflation experienced during the 2110s.
b. prolonged high rates of unemployment experienced during the 1930s.
c. low interest rates of the 1950s and 1960s.
d. budget surpluses and rapid growth of the U.S. economy during the 1990s.

Question 2

Which of the following statements is true?
a. Sales, excise, and flat-rate taxes violate the ability-to-pay principle of taxation fairness because each results in a greater burden on the poor than the rich.
b. Government failure may occur if voters are rationally ignorant.
c. Government failure may occur because of special-interest group political pressure.
d. All of these.