Discretionary fiscal policy is used to
A) create economic growth.
B) create income equality.
C) smooth out fluctuations in the overall level of economic activity.
D) reduce the level of frictional unemployment.
Correct Answer:
Verified
Q8: Investment spending is
A) not dependent on taxation
Q9: If a tax cut stimulates investment spending
Q10: Keynesian economics is based on the idea
Q11: Income set aside for a period of
Q12: Consumption spending is most strongly determined by
A)
Q14: Marginal propensity to consume
A) is the change
Q15: Which one of the following is true,
Q16: As the prospects for profitable business conditions
Q17: Discretionary fiscal policy involves the use of
A)
Q18: An increase in the marginal propensity to
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