Which of the following is the most likely effect if the government was to increase spending? Responses an increase in bonds an increase in bonds a deflationary gap a deflationary gap a decrease in interest rate a decrease in interest rate a decrease in inflation rate

What policy might the federal government implement with regard to taxes and spending to help stop the economy from falling into recession?

What are some reasons that the economy might be in a recession, and what is the appropriate government action to alleviate the recession?

If the government increases expenditures on goods and services and increases taxation by the same amount, which of the following will occur? A. Aggregate demand will be unchanged. B. Aggregate demand will increase. C. Interest rates will decrease. D. The money supply will decrease.

1.4. The deflationary gap in an economy is calculated to be $700 billion. The marginal propensity to save (MPS) is 0.1 The marginal propensity to import is (MPM) 0.15 The marginal rate of taxation is (MPT) 0.1. By how much would the government need change its spending on goods and services to eliminate the deflationary gap?   1.5. How does CHANGE in PRICES effect your lives?   1.6. Explain why INFLATION usually accelerates during wartime? Macroeconomics and the goals of Macroeconomic policy

G, 7    Economics

If the government decreases taxes, disposable income does not change. falls. increases. This causes total consumer spending to not change. increase. decrease.

Define the term inventories?

Entitlement spending is Group of answer choices is another word for Discretionary Spending required by law, and can be changed every fiscal year is the largest category of the Federal Budget includes spending on education, transportation, and international affairs Both B and C are correct

Which of the following is NOT counted in the "G" component of spending   a. social security payments to retirees b. the federal government purchases three new military fighter planes c. the city government pays the salaries of teachers d. the state government spends $100 million building a new section of highway