Policy makers and citizens who want to expand the size of the government sector would favor stabilization policies that
a. raise G to eliminate a recessionary gap and lower taxes to eliminate an inflationary gap.
b. raise G to eliminate a recessionary gap and raise taxes to eliminate an inflationary gap.
c. reduce taxes to eliminate a recessionary gap and raise G to eliminate an inflationary gap.
d. reduce taxes to eliminate a recessionary gap and reduce G to eliminate an inflationary gap.
b
Economics
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Investment is defined as
A) the purchase of a stock or bond. B) the purchase of new capital goods by firms. C) spending on capital goods by governments. D) what consumers do with their savings. E) financial capital.
Economics
If $1000 was deposited in a bank and the reserve requirement is 0.10, how much is available for loans?
A) $900 B) $910 C) $920 D) $930
Economics