The purpose of fiscal policy should be to
A. balance the budget to be fiscally responsible.
B. balance aggregate supply and aggregate demand.
C. keep taxes low to keep voters happy.
D. minimize government spending to avoid wasting money.
Answer: B
Economics
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In the above figure, the economy will be at full employment if the price level
A) is 110. B) is above 110. C) is below 100. D) All of the above are possible because the economy will be at full employment at any price level at, above, or below 110.
Economics
If businesses forecast significant economic growth in the future, they may: a. decrease their investment spending. b. increase their investment spending
c. decrease their consumption spending. d. increase their consumption spending.
Economics