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The government has the ability to influence the level of output in the short run using monetary and fiscal policy. There is some disagreement as to whether the government should attempt to stabilize the economy. Which of the following are arguments in favor of active stabilization policy by the government?
Check all that apply. Businesses make investment plans many months in advance. The Fed can effectively respond to excessive pessimism by expanding the money supply and lowering interest rates. The current tax system acts as an automatic stabilizer. Shifts in aggregate demand are often the result of waves of pessimism or optimism among consumers and businesses.
Which of the following are examples of automatic stabilizers?
Check all that apply. Unemployment insurance benefits Personal income taxes Corporate income taxes
The following events have their initial impact on which of the following: aggregate demand, short-run aggregate supply, long-run aggregate supply, or both short-run and long-run aggregate supply? Do the curves shift to the right or left?
Concert tickets to see Adele have increased from 100$ to 150$.
The effort required to maintain a scanning electron microscope is known to increase by a ?xed percentage each year. A hightech equipment maintenance company has offered it services for a fee of $25,000 for the first year (i.e., end of year 1) with in..
Using a minimum of 3 approved sources (articles from major news outlets, academic journal articles, textbooks), post an original 4-5 well-developed paragraph response to the questions below by June 5th at 11:00pm and respond to at least two classmate..
What are the distinctions between net ordinary income and separately stated income and deductions? What is the rationale for separately stating those items as individual K and the K-1?
Which of the following is an example of moral hazard?
Select three presidents and research their Chief of Staff and White House advisers during their tenure as President. Create a chart comparing and contrasting how these advisers influenced each president in economics, foreign affairs, domestic policy ..
identify the circumstances under which Sarah should choose package A, the circumstances under which she should choose package B.
Some city governments require that all city employees live within the city limits. What impact does this have on the elasticity of supply and or demand for employees of a city with such a requirement?
If you receive an inheritance of $10,000 today, how long do you have to invest it at 8% per year to be able to withdraw $2,000 every year forever? Assume the 8% per year is a return that you can depend on forever.
Suppose good X is a normal good. Then a decrease in income would lead to
Background info for question below: "For all problems consider a market containing four identical firms, each of which makes an identical product. The inverse demand for this product is P = 100?Q, where P is price and Q is aggregate output. For all ..
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