What are the two tools of fiscal policy that governments can use to affect the level of aggregate demand?
A) taxation and controlling imports
B) taxation and controlling exports
C) government spending and taxation
D) government spending and technology improvements
C
You might also like to view...
Under the gold standard:
A) the United States set the price of gold at $35 per ounce, and other countries then established their exchange rates against the U.S. dollar (e.g., £1 = $5). B) Great Britain and the United States set the price of gold at $35 per ounce and £7 per ounce, and then other countries established their exchange rates against either the British pound or the U.S. dollar. C) all countries pegged the values of their currencies to gold. D) only gold was used to settle international transactions.
The corn basis in Nevada is about -$0.20/bu. The corn basis in Gilbert is about -$0.25/bu. Where a corn farmer located in Ames, halfway between Nevada and Gilbert, should ship his corn to make the most money?
A. Nevada. B. Gilbert. C. The farmer is indifferent between the two locations because they are the same distance from him. D. None of the above.