Exam 19: Policies for Intermediate-Run Growth

Over the long-run,fluctuations in the growth rate in output are primarily driven by fluctuations in

The tradeoff between equity and efficiency is evident in debates over

Higher rates of inflation

If an increase in marginal tax rates leads to an increase in tax revenues,then

The Keynesian economists do not believe that a cut in the marginal income tax rate will have strong effects on aggregate supply because they

In the Keynesian view,a reduction in the marginal income tax rate would cause

Supply-side economists argue that taxing of nominal gains and interest earnings during inflationary periods

According to supply-side advocates,the increase in government regulatory activity in the late 1960s slowed economic growth

Strong growth in the U.S.during the 1990s may have been the result of

The after-tax rate of return is defined as the pretax profit rate

The Tax Reform Act of 2004

Since the 1970s,the income tax system in the U.S.has become

An inflation-induced increase in the effective tax rate on interest income and capital gains results in

According to supply-siders,an switch from taxing income to taxing consumption to will

If the nominal rate of interest on a bond was 5 percent,the inflation rate was 3 percent and an individual was in a 25-percent tax bracket,the after-tax real return on the bond would be equal to

Keynesians have been critical of supply-side economics because it ignores

According to the classical system,a decrease in the income tax rate reduces the after-tax real wage

The Laffer curve specifies

A critical component of supply-side economics is that

Which of the following factors are included in the determination of growth rates of output in the intermediate run?