Multiple Choice
When calculating the effect of a tax cut on equilibrium GDP,the tax multiplier is always
A) 2.0 smaller than the spending multiplier
B) 1.0 smaller than the spending multiplier and negative in sign
C) positive
D) positive and larger than the spending multiplier
E) negative and larger than the spending multiplier
Correct Answer:
Verified
Correct Answer:
Verified
Q82: A debt that rises faster than nominal
Q83: Government outlays consist of<br>A) all governmental purchases
Q84: Which case represents the largest increase in
Q85: The federal government's budget been in deficit
Q86: The concerns about the 2009 $787 billion
Q88: In the long run,<br>A) large government budget
Q89: To pay interest to those U.S.residents who
Q90: The $787 billion stimulus was broken down
Q91: Which of the following is a government
Q92: Government outlays and government expenditures mean the