If the government reduces spending ________
A) the IS curve will shift to the right
B) output will increase if interest rates remain fixed
C) consumption will increase
D) all of the above
E) none of the above
E
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The poverty rate is defined as the percentage of the
A) population that is exempt from paying federal income taxes. B) population who qualify to receive welfare payments and food stamps. C) labor force that is poor according to the federal government's definition of poverty. D) population that is poor according to the federal government's definition of poverty.
Which of the following statements does not follow from the median voter model?
a. Party platforms tend to converge to the median. b. The farther a candidate is away from the median voter, the more support she will have. c. Third parties generally cannot win elections. d. Political candidates tend to be quite similar to one another.