Member of Parliament, Mr. Parks, is alarmed at the state of the economy. Unemployment is excessively high, and GDP is declining. MP Parks has called for parliament to take decisive action to increase its expenditures and cut taxes in order to stimulate the economy. The actions called for by MP Parks are examples of the government's use of: social investment policy. fiscal policy. incomes policy. monetary policy.

Member of Parliament, Mr. Parks, is alarmed at the state of the economy. Unemployment is excessively high, and GDP is declining. MP Parks has called for parliament to take decisive action to increase its expenditures and cut taxes in order to stimulate the economy. The actions called for by MP Parks are examples of the government's use of: social investment policy. fiscal policy. incomes policy. monetary policy.

Survey Of Economics

10th Edition

ISBN:9781337111522

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter15: Fiscal Policy

Section: Chapter Questions

Problem 1SQ

See similar textbooks

Similar questions

20 Lilliput is a country that has closed borders and does not import or export any goods or services; hence, they do not worry about trade with other countries. Total spending for the federal government of Lilliput for the last fiscal year was $24.19 billion. The country collected $22.9 billion in taxes during this same fiscal year. Assume government transfers were zero. Based on this information, what is Lilliput's budget balance? Enter your answer to two decimal places. budget balance: $ In the last fiscal year, Lilliput was running a budget surplus a budget deficit a balanced budget billion
The use of government spending and taxation to affect aggregate demand are examples of fiscal policy. Explain how fiscal policy influences the economic growth of a country?
Define fiscal policy and explain the role of income taxes and government spending as fiscal policy tools.
TRUE/FALSE Spending by local governments to stimulate or slow down their local economies is an example of fiscal policy.
The imaginary country of Acordia lists the following projected revenues and outlays for 2020: $30 million in personal income tax, $20 million in corporate income tax, $7 million in indirect taxes, $2 million in investment income, $35 million in transfer payments, $14 million in government expenditures, and $4 million in debt interest. What is the projected budget surplus (or deficit) for 2021? Calculate the amount and indicate whether it is a surplus or deficit.
Lilliput is a country that has closed borders and does not import or export any goods or services; hence, they do not worry about trade with other countries. Total spending for the federal government of Lilliput for the last fiscal year was $1.06$1.06 billion. The country collected $1.05$1.05 billion in taxes during this same fiscal year. Assume government transfers were zero. Based on this information, what is Lilliput's budget balance? Enter your answer to two decimal places. budget balance: $ ______ billion In the last fiscal year, Lilliput was running a. a budget surplus b. a balanced budget c. a budget deficit
Fiscal policy is spending and taxation of the executive branch of the federal government; in recessionary times, what initiatives in spending and or taxation are going to help the economy?
The government has many tools at its disposal to help create stability for an economy. Explain the best type of fiscal policy for our economy right now. Analyze how the economy is doing and provide support for the type of fiscal policy you selected.
Which of the following is a TRUE statement about arguments for and against requiring a balanced federal budget in the U.S.? Group of answer choices One argument against a required balanced federal budget is that sometimes it is necessary or beneficial to run large budget deficits in the short-run. One argument against a required balanced federal budget is that the government does not have macroeconomic responsibilities One argument in support of a required balanced federal budget maintains that having a balanced budget each year would make the impacts of economic recessions less severe. One argument against a required balanced federal budget is that this mandate cannot be added to the Constitution, and therefore, could not be enforced.
Describe the shortcomings of Fiscal Policy. Be as thorough as possible.
Evaluate the effectiveness of fiscal policy as a tool to reduce unemployment.
Do you think that conventional fiscal policy is different from islamic fiscal policy?