Supply-side economics is based on the theory that:
a. budget deficits will stimulate demand, output, and employment.
b. budget deficits will lead to higher interest rates, which will weaken their expansionary impact.
c. higher tax rates will increase tax revenues.
d. increases in aggregate supply lower the price level.
d
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The Resolution Trust Corporation was created by the FIRREA in order to
A) manage and resolve insolvent S&Ls. B) build up trust in government regulation. C) regulate the S&L industry. D) purchase large amounts of government debt.
Rent seekers are those who seek to
a. use the government to protect their existing property interests b. use the government to change the rules of the market game in their favor c. convert public land into private land d. convert public resources into private resources e. maximize their own private gains from trade