Expansionary fiscal policy would involve ________, whereas contractionary fiscal policy would involve ________
A) increasing the money supply; increasing personal income taxes
B) increasing corporate income taxes; raising interest rates
C) increasing transfer payments; increasing corporate income taxes
D) increasing government purchases; increasing transfer payments
C
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Unemployment that naturally occurs during the normal workings of an economy as people change jobs and move across the country is called
A) frictional unemployment. B) natural unemployment. C) cyclical unemployment. D) structural unemployment.
If speculators lost confidence in foreign economies and so wanted to buy more U.S. bonds
a. the dollar would appreciate which would cause aggregate demand to shift right. b. the dollar would appreciate which would cause aggregate demand to shift left. c. the dollar would depreciate which would cause aggregate demand to shift right. d. the dollar would depreciate which would cause aggregate demand to shift left.