A sole proprietorship is the type of business that has ________ government rules and regulations affecting it

When an economy is operating below its potential capacity, Keynesian economists argue that

a. taxes should be raised if the government is currently running a budget deficit. b. taxes should be lowered but only if the government is running a budget surplus. c. the government should cut taxes and/or increase expenditures in order to stimulate aggregate demand. d. both a and b are correct. e. all of the above are correct.

Members of the Federal Reserve Board of Governors are appointed for one 14-year term so that they

A. Make their decisions based on economic, rather than political, considerations. B. Have enough time to travel to all 12 regional banks. C. Have time to learn how the Fed operates. D. Are more likely to make politically acceptable decisions.