In the United States -since 1981- which two of the following have almost always moved in the same direction?
A) net exports and the government sector balance
B) net exports and the private sector balance
C) the government sector balance and the private sector balance
D) none of the above
D
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Which of the following is a part of the "employer mandate" provision of the Patient Protection and Affordable Care Act (ACA)?
A) Every firm with more than 3 full-time employees must offer health insurance to its employees and must automatically enroll them in the plan. B) Every resident of the United States must have health insurance that meets certain basic requirements. C) Firms with 50 or more full-time employees must offer health insurance or pay a $3,000 fine to the federal government for every employee who receives a tax credit from the federal government for obtaining health insurance through a health insurance marketplace. D) Small businesses with fewer than 50 employees are exempt from being required to participate in the program.
The tax multiplier
A) is negative. B) is larger in absolute value as compared to the government spending multiplier. C) is a measure of how much taxes will fall when income is falling. D) is always less than one.