The median voter model suggests that _____
a. extreme candidates are unlikely to change positions over time
b. extreme candidates have an easier time winning election because of the fervor of their supporters
c. extreme candidates will have a difficult time winning election
d. extreme candidates will be able to move a party's platform to better fit their positions
c
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In the basic closed-economy ISLM model, the IS curve can be described by an equation where
A) output is a function of consumption. B) money is a function of interest rates. C) output is a function of money. D) output is a function of interest rates.
A disadvantage of functional finance is that it: a. does not focus on producing the potential level of output in an economy
b. increases the level of unemployment during recessions. c. allows chronic deficits that magnify into national debt, allowing it to reach an alarming level. d. requires that the budget is balanced even during times of war. e. magnifies fluctuations in the business cycle.