Saving by households and businesses is called ________ saving.

In the long-run equilibrium for a perfectly competitive market, firms will choose the level of output where

a. profit is minimized b. short-run average total cost is minimized c. long-run average total cost is minimized d. short-run profit is maximized e. long-run average fixed cost is minimized

Which of the following is considered expansionary fiscal policy?

A) Congress decreases the income tax rate. B) Congress increases defense spending. C) Legislation increases a college tuition deduction from federal income taxes. D) The Arizona legislature cuts highway spending to balance its budget.