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Author Question: A fiscal rule which involves a ceiling to government borrowing as a percentage of GDP (Read 26 times)

pepyto

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on: May 25, 2020

Question 1

If a government were using fiscal policy for stabilisation in a ________ it would ________.
◦ recession, raise taxes
◦ boom, decrease taxes
◦ boom, increase spending
◦ recession, increase spending

Question 2

A fiscal rule which involves a ceiling to government borrowing as a percentage of GDP
◦ prevents the use of discretionary fiscal policy at any time as long as the government abides by the rule.
◦ prohibits the of expansionary fiscal policy when the economy is already at the ceiling.
◦ prohibits the use of contractionary fiscal policy when the economy is already at the ceiling.
◦ both B and C
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Marked as best answer by pepyto on May 25, 2020

fromAlphatoOmega22

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Reply #1 on: May 25, 2020
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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pepyto

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Reply 2 on: May 25, 2020
Great answer, keep it coming :)

tkempin

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Reply 3 on: Yesterday
:D TYSM

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