Multiple Choice
When policy makers make a deliberate fiscal policy decision:
A) it is called discretionary fiscal policy.
B) it is an example of an automatic stabilizer.
C) no lag effects will result.
D) the value of the multiplier will be reduced.
Correct Answer:

Verified
Correct Answer:
Verified
Q69: Contractionary fiscal policy includes:<br>A) decreasing taxes.<br>B) increasing
Q119: A contractionary fiscal policy:<br>A) decreases a government
Q209: What was the main financial problem that
Q210: Assume that marginal propensity to consume is
Q211: Use the following to answer questions:<br>Figure: Fiscal
Q213: If the government increases its spending when
Q214: Use the following to answer questions:<br>Figure: Short-Run
Q215: If the marginal propensity to consume is
Q216: Fiscal experts in the United States are
Q217: Explain the difference between automatic stabilizers and