If the actual government deficit (-) is equal to -$50 billion, then:
a. Fiscal policy must be expansionary.
b. Fiscal policy could be expansionary, contractionary, or neutral.
c. Monetary policy must be expansionary.
d. Fiscal policy must be contractionary.
.B
Economics
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Which of the following types of taxes achieves vertical equity: a proportional tax, regressive tax, and/or progressive tax?
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If a country possesses the absolute advantage in the production of one good:
A. it can produce more of that good given the same resources. B. then it must also possess the absolute advantage in the production of the other good. C. then it must also possess the comparative advantage in the production of the other good. D. then it must also possess the comparative advantage in the production of both goods.
Economics