The fiscal policy to eliminate inflation is to: O A. increase taxes and decrease government spending OB. decrease taxes and decrease interest rates OC. decrease taxes and increase government spending
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- Why is spending by the U.S. government on scientific research at NASA fiscal policy while spending by the University of Illinois is not fiscal policy? Why is a cut in the payroll tax fiscal policy whereas a cut in a state income tax is not fiscal policy?Under what general macroeconomic circumstances might a government use expansionary fiscal policy? When might it use contractionary fiscal policy?QUESTION 4 If income tax rates are based on nominal income, as inflation increases, taxpayers will see A. their taxes fall as their income falls. OB. an increase in the nominal income. OC. their taxes rise even though their real income is falling. O D.their taxes fall even though their real income is rising. O E. an increase in their real incomes G. H. B Alt Control
- 17. Which of the following is used as a remedial measure during inflation in an economy? a.Decrease taxes and government spending b.Increase taxes and decrease government spending c.Decrease taxes and increase government spending d.Increase taxes and government spendingWhen the government increases spending (expansionary fiscal policy), inflation and employment are MOST LIKELY to change in which of the following ways? Inflation Level Unemployment Decrease, Increase Decrease, Decrease Increase, Decrease O Increase, IncreaseWhich of the following fiscal policy actions would be appropriate if the economy is experiencing an recessionary gap? OA. a decrease in government spending B. a decrease in the money supply C. an increase in interest rates D. a decrease in taxes
- 100 T. 80 G 60 40 O $ 100 200 300 400 500 600 700 800 900 GDP Refer to the diagram, in which Tis tax revenues and Gis government expenditures Al figures are in billons of doltars if the ful-employment ODP400 billion while the actual GDP is $200 billion: (Show your calcutations) a. What is the actual budget deficit? b. What is the cyclically adjusted budget deficit? c. The value of cyclically adjusted deficit identifies which type of discretionary fiscal policy? 20 G T.G ($)Course dashboard The difference between what a government spends and what it collects in taxes in a year is Lütfen birini seçin: O A. the government debt O B. none of the answers O C. net taxes O D. the government budget deficit or surplus O E. net revenue UYGULAMAYI BİTİR GDP Geçiş yap. MİDTERM Y6. The discretionary fiscal policy initiatives adopted in 2009 were intended mainly to ECOM A. increase aggregate supply. B. increase aggregate demand. C. decrease aggregate supply. balat 800S nhub.aDet D. decrease aggregate demand
- 24. Which of the following is used as a remedial measure during a recession in an economy? a.Decrease taxes and increase government spending b.Increase taxes and government spending c.Decrease taxes and government spending d.Increase taxes and decrease government spendingFiscal Policy cannot stabilize the Economy if there is High Unemployment and High Inflation (stagflation) because... Contractionary Policy will i the Unemployment Rate and ithe Inflation Rate. Expansionary Policy will the Unemployment Rate and i the Inflation Rate. :: Increase :: DecreaseWhat does a declining national debt indicate? The government is receiving more money in taxes than it spends in a year. The unemployment rate is declining. The government is spending more money than it receives in taxes for a given year. O The rate of inflation is declining.