Please answer the following questions: 1. Discretionary fiscal policy is the direct result of deliberate actions by policy makers rather thanan automatic adjustment.A. TrueB. False2. Discretionary government spending is an automatic stabilizer.A. TrueB. False3. Fiscal policy refers to the:A. changing the money supply to impact the economy.B. policies to positively impact the environment.C. policies design to achieve a balanced budget.D. manipulation of government spending and taxes to stabilize domestic output, employment,and the price level.E. manipulation of government spending and taxes to achieve greater equality in the distributionof income.4. Which factor is NOT a tool of fiscal policy?(Select All that Apply)A. changing the tax ratesB. government purchases of goods and servicesC. changes in the money supplyD. changes in the interest rate to affect the moneysupply5. A contractionary fiscal policy is one that reduces aggregate demand by decreasing:A. government purchases.B. the money supply.C. interest rates.D. taxes.6. If the economy exhibited an inflationary gap, the government should follow a(n)which would shift the AD curve to theA. expansionary; rightB. contractionary; rightC. expansionary; leftD. contractionary; leftpolicy, 14. The economy starts out with a balanced Federal budget. If the government opts to implementexpansionary fiscal policy, then there will be a:A. Trade deficitB. Trade surplusC. Budget deficitD. Budget surplusE. Balanced Federal Budget15. As the economy declines into recession, the collection of personal income tax revenuesautomatically falls. This relationship best describes how the progressive income tax system:A. serves as a discretionary fiscal policyB. have no effect in the economyC. will help discourage spendingD. converts a recession into a depressionE. serves as an automatic stabilizer for the economyMATCHINGWith regards to time lags (shortcomings of discretionary fiscal policy), match the following:16. Recognition Lag17. Administrative Lag18. Operation LagA. the time it takes for discretionary fiscalpolicy to impact the economy.B. start of the recession and the time it takesto recognize that the recession has started.C. the time the need for the fiscal action isrecognized and the time that the action istaken.

Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

1. Discretionary fiscal policy is the direct result of deliberate actions by policy makers rather than an automatic adjustment. A. True B. False 2. Discretionary government spending is an automatic stabilizer. A. True B. False 3. Fiscal policy refers to the: A. changing the money supply to impact the economy. B. policies to positively impact the environment. C. policies design to achieve a balanced budget. D. manipulation of government spending and taxes to stabilize domestic output, employment, and the price level. E. manipulation of government spending and taxes to achieve greater equality in the distribution of income.

1. Discretionary fiscal policy is the direct result of deliberate actions by policy makers rather than an automatic adjustment. A. True B. False 2. Discretionary government spending is an automatic stabilizer. A. True B. False 3. Fiscal policy refers to the: A. changing the money supply to impact the economy. B. policies to positively impact the environment. C. policies design to achieve a balanced budget. D. manipulation of government spending and taxes to stabilize domestic output, employment, and the price level. E. manipulation of government spending and taxes to achieve greater equality in the distribution of income.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

these are the dataset: Earnings and…
Q21 MCQ A price index is: a) a measurement showing how the average price of a bundle of goods changes over time b) a measurement showing the cost of a bundle of goods at a point in time c) a sustained increase in the overall price level d) a decrease in the overall price level
What is the size of the out of the labor force population in an economy that the number of employed persons in a country equals 30 million, the number of unemployed persons equals 4 million, and the number of persons over age 16 in the population equals 40 million? (Example: If answer is 10 million, just write 10). Type your numeric answer and submit
There are 6060 million unemployed people in a country, 29%29% of which have been unemployed for less than five weeks. The number of people who have been unemployed for five to fourteen weeks is 1212 million less than the number of people who have been unemployed for less than five weeks. People who have been unemployed for fifteen to twenty-six weeks account for 14%14% of the total unemployed population.Calculate the percentage of people who have been unemployed for twenty-seven weeks or more. Enter your answer in the box below..
sub= 24
Calculate Price level (two decimal places) MD=(.67Y-5r)P MS= 100 Y= 150 r= -6
Unemployment Question The small country of Macroland has a population of 100,000 people over the age of 18 and under 65. There are 50,000 people under the age of 18, and 20,000 people over the age of 65. The number of people between ages of 18 and 65 that are looking for jobs is 20,000, and the number that have jobs is 50,000. Using this information, answer the following questions. Show your work. These are numbers for the month of January. а. What is the labor force of Macroland for people between the ages of 18 and 65 in January? b. What is the unemployment rate of Macroland for people between the ages of 18 and 65 in January? What is the labor force participation rate of Macroland for people between the ages of 18 and 65 in January? с. Now assume there were some changes in February. Of the people between the ages of 18 and 65 in Macroland, about 2000 who were looking for work now dropped out of the labor market, and stop looking for work. In addition, 8000 people who were previously…
Workers and managers in the XYZ Company have negotiated a wage agreement under the expectation that the inflation rate will be zero over the period of the contract. In order to protect workers against unpredictable inflation, however, the contract states that at the end of each year, the wage rate will increase by the same percentage as the increase in the consumer price index (CPI). At the beginning of the contract, the CPI is 428 and the wage rate is set at $12.00 an hour. At the end of the first year the CPl is 450, and at the end of the second year the CPI is 468. What will the new wage rate become at the end of the first year? The second year? Show your work.
Solve for Y : Y=116*(142/124) Round to two decimal places
Suppose the price level reflects the number of dollars needed to buy a basket of goods containing one cup of coffee, one donut, and one newspaper. In year one, the basket costs $6.00. In year two, the price of the same basket is $7.00. From year one to year two, there is at an annual rate of . In year one, $12.00 will buy baskets, and in year two, $12.00 will buy baskets. This example illustrates that, as the price level rises, the value of money .
The nominal value of any economic statistic refers to the number that is actually announced at that time, while the ________________ refers to the statistic after it has been adjusted for inflation. empirical value adjusted value real value net value
In a given community, the unemployment rate is 3.1% and their working-age population is 1.2 Million. Labor force participation was 92% in this community in December of 2009. In January 2010, this community takes in 80,000 refugees, 65,000 of which are working-age adults. All working-age refugees will be looking for a job in January and if they cannot find one will continue to look until they do. If 70% of the refugees start a new job in January, what will be the Unemployment rate in this community in February 1st? ( Please round your answer to include 2 decimal places, do not include the percent sign in the answer. That is, If you find 8.33333% is the new unemployment rate, input your answer as 8.33)