Solved

An Increase in Government Expenditure Can ________ Potential GDP and an Increase

Question 196

Multiple Choice

An increase in government expenditure can ________ potential GDP and an increase in taxes can ________ potential GDP.

A) increase;increase
B) increase;never change
C) decrease;decrease
D) never change;never change
E) increase;decrease

Related Questions

Q191: If the Fed raises the federal funds

Q192: Which has a larger effect on aggregate

Q193: The tax multiplier is the<br>A)magnification effect of

Q194: Which of the following is an example

Q195: Explain the role the Fed,Congress,and the President

Q197: In a recession,needs-tested spending _ and induced

Q199: If the Fed increases the quantity of

Q200: An increase in income taxes _ employment

Q201: When the FOMC raises the federal funds

Q211: Discretionary fiscal policy is a fiscal policy