How does total taxes as a percentage of GDP in the United States compare to those of Western European countries, such as the United Kingdom, Germany, and Sweden?
a. U.S. taxation is smaller.
b. U.S. taxation is about the same.
c. U.S. taxation is slightly larger.
d. U.S. taxation is substantially larger.
Question 2
A preannounced contractionary money policy is more likely to create unemployment when people have rational, rather than adaptive, expectations.
a. True
b. False
Indicate whether the statement is true or false
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