Government's action intended to keep GDP close to its potential level is called:
A) deficit-reduction policy.
B) stabilization policy.
C) budget surplus policy.
D) monetary policy.
Correct Answer:
Verified
Q62: Consider a negative (adverse) supply shock and
Q63: The outcome of higher energy price and
Q64: In a recessionary gap, the economy may
Q65: Expansionary fiscal policy:
A) decreases aggregate demand.
B) occurs
Q66: Assume that the tax-multiplier is -3 and
Q68: Fiscal policy attempts to:
A) influence interest rates
Q69: One possible fiscal policy objective is:
A) to
Q70: One of the instruments of fiscal policy
Q71: Rise in structural primary budget balance indicates:
A)
Q72: To the economist, the term fiscal policy
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents