The multiplier effect of a tax cut is ______ the multiplier effect of an equal amount of government spending.

Keynesian theory became important when classical economic theory did not adequately explain:

A. A prolonged period of both inflation and unemployment. B. A prolonged growth recession. C. A depression. D. A prolonged period of inflation. E. Outsourcing.

The Obama administration increased the tax on the top income tax bracket from 35% to 39%

Supply and demand analysis predicts the impact of this change was a ________ interest rate on municipal bonds and a ________ interest rate on Treasury bonds, all else the same. A) higher; lower B) lower; lower C) higher; higher D) lower; higher