The "Yes - Markets Self-Adjust" camp agrees with all of the following statements except which one?
A) Government spending is determined by political influence rather than need.
B) Private individuals should make smart choices about how to spend their money.
C) Reduced government spending is preferred to tax cuts for slowing the economy.
D) Tax cuts are less effective than government spending for speeding up the economy because savings can cause transmission breakdowns.
E) Government should keep its hands off of the economy wherever possible.
Correct Answer:
Verified
Q19: Which is an injection into the circular
Q20: What decreases the size of the multiplier
Q21: Which government fiscal policy is a negative
Q22: Which government fiscal policy is a positive
Q23: The size of the multiplier effect is
Q25: The fiscal policy to counter an inflationary
Q26: The "No - Markets Fail Often" camp
Q27: When real GDP exceeds potential GDP, fiscal
Q28: Which government fiscal policy is a positive
Q29: Fiscal policy is
A) the use of government
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