Which of the following tax rates may affect an individual's decision to work harder and earn additional income?
What are the primary goals of fiscal and monetary policy?
Decreasing personal tax rates through fiscal policy will most likely result in:
An expansionary fiscal policy would most likely cause which of the following changes in output and interest rates?
What is the value of this expansionary gap?
What does a contractionary gap indicate about output in the short-run?
Why can recognition lag occur?
According to supply-side economists, how are taxes and economic growth related?
The government has just lowered personal income taxes. Which of the following best describes the economic effects of this policy?
Lower disposable income, lower consumption, lower real GDP, higher unemployment.
Lower disposable income, higher consumption, higher real GDP, lower unemployment.
Higher disposable income, lower consumption, higher real GDP, lower unemployment.
Higher disposable income, higher consumption, higher real GDP, lower unemployment.
What is potential output?
John Maynard Keynes believed that fiscal policy designed to deal with budgets should _____
All of the following are examples of fiscal policy to lower unemployment, EXCEPT:
If the supply of money increases, what happens in the money market?
Which of the following policies would be supported by a supply-side economist?
When the AD and the SRAS intersect to the left of the vertical LRAS, economists call this:
'Crowding out' refers to which of the following?
Which of the following is true about fiscal policy?
How would we describe an economy that corresponds to the following image?
Which is true about actual economic output during different times of the business cycle?
Which of the following reduces the effects of expansionary fiscal policy?
The central idea of supply-side economics is that certain types of tax cuts will increase:
In general, because of policy lags, which of the following is true?
Increasing government spending will likely lead to all of the following, EXCEPT:
Which of the following tax codes is most progressive?
At full employment levels, how does the SRAS affect price level?
What is a benefit of a contractionary gap?
When there is a downside gap between actual equilibrium, real GDP, and the full-employment level of real GDP, what do economists call this?
An economy is facing moderate output growth but significantly high inflation rates. Which of the following policy actions can the Federal Reserve use to address this problem?
Which of the following statements is NOT true regarding fiscal and monetary policy?
How do automatic stabilizers benefit the economy?
CEOE Business Education: Fiscal and Monetary Policies Chapter Exam Instructions
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