Imagine the economy is slipping into a recession. What would a Keynesian advocate and why? Compare this approach to adjusting the discount rate to affect the money supply
What will be an ideal response?
Answer: An ideal response will:
1. Identify that Keynesian economic policy is a type of fiscal policy that is more concerned with high levels of unemployment than inflation.
2. Specify how increasing government spending and lowering tax rates encourages employment and investment. Note that when taxes are lowered, individuals and businesses will have more money to invest, which in turn increases the potential for new job creation and employment.
3. Note how this is different from using the discount rate to affect interest rates and the money supply because lowering interest rates reduces the cost of money and makes it more likely that banks will offer loans to businesses seeking to expand and thus increases the prospects for increased hiring and employment.
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Despite the fact that registration has been relatively easy in Texas for more than three decades, voter turnout is still below national levels
Indicate whether the statement is true or false
The public agenda is the
a. policies scheduled for debate and potential adoption by Congress. b. items that the president will make pronouncements about on a given day. c. cases considered or requested to be considered by the Supreme Court. d. set of topics that are of concern to policy elites and/or the public. e. is policy that is constructed and put into effect by the federal government.