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Question 22

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In the mid 1970s in the USA, both inflation and recession occurred. This phenomenon is called

Select one:

a. Recessionation

b. Inflacession

c. Reflation

d. Stagflation

Question 23

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When the government cuts taxes in order to stimulate spending and the economy, which type of policy is being used?

Select one:

a. Spending Policy

b. Monetary Policy

c. GDP Policy

d. Fiscal Policy

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Keith Leannon
Keith LeannonLv2
15 Nov 2019
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Related textbook solutions

Principles of Economics
2nd Edition, 2017
Openstax
ISBN: 9781947172364
Principles of Macroeconomics
2 Edition,
Openstax
ISBN: 9781947172388
Principles of Microeconomics
2 Edition,
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Related questions

Question 15

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How are education and training part of economic planning?

Select one:

a. They are the only wise way of saving

b. They combine with experience to make human capital

c. They are always rewarded with tax rebates

d. The government pays for everyone's education and training

Question 16

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John Maynard Keynes

Select one:

a. introduced his theories in 1936.

b. introduced his theories in the 1970s.

c. argued that government should limit its involvement in business.

d. argued that foreign-sector spending should not be ignored.

Question 17

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The Council of Economic Advisers

Select one:

a. advises Congress on economic developments and strategy.

b. determines the Feds monetary policy.

c. is an independent agency with broad regulatory powers.

d. advises the president on economic developments and strategy.

Question 18

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Unlike demand-side economics, supply-side economics

Select one:

a. urges higher taxes to increase spending on government programs.

b. emphasizes increasing consumer purchasing power.

c. advocates reduced government involvement in business.

d. advocates increased government involvement in business.

Question 1

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Assets are

Select one:

a. legal reserves.

b. the same as net worth.

c. cash a bank owes to depositors.

d. properties, possessions, and claims on others.

Question 2

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In the short run, an increase in the money supply results in

Select one:

a. economic expansion.

b. higher interest rates.

c. lower interest rates.

d. increased consumer spending.

Question 3

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The Federal Reserve

Select one:

a. is made up of 12 district banks and 25 branch banks.

b. was established in 1930s.

c. is managed by a 12-member board of directors.

d. is made up of district banks that operate independently from one another.

Question 4

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The Feds Federal Open Market Committee

Select one:

a. advises the Fed on the overall health of the economy.

b. is the Feds primary monetary policymaking body.

c. regulates savings and loan associations, savings banks, and credit unions.

d. advises the Fed on consumer credit laws.

Question 5

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The nations monetary policy

Select one:

a. is determined by the Council of Economic Advisers.

b. almost always complements presidential and Congressional aims.

c. is tightly managed by Congress.

d. often comes under attack from politicians.

Question 11

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Aggregate demand will increase

Select one:

a. when productivity is low.

b. if consumers save more and spend less.

c. if the dollar declines in value.

d. if consumers save less and spend more.

Question 12

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Baby boomers are people who were born in the United States during the years

Select one:

a. 1965 to 1985.

b. 1946 to 1964.

c. 1939 to 1957.

d. 1950 to 1970.

Question 13

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Decreases in aggregate supply can be caused by

Select one:

a. higher interest rates.

b. decreases in fuel and transportation costs.

c. reduced government regulation.

d. lower taxes.

Question 14

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Deregulation is most closely associated with

Select one:

a. supply-side economics.

b. demand-side economics.

c. Keynesian economics.

d. laissez-faire economics.

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