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- In a situation of recession, what are the types of goods that will see their demand increase? Give examplesIf the government got rid of sales tax, how might this affect the market? shift AD to the right shift SRAS to the right shift AD to the left shift SRAS to the leftWhat factors influence the demand for non-durable goods during an economic recession?
- Why does the budget require a forecast of the economy? Under what circumstances would actual government spending and tax revenue fall to match the budget as approved?In the long run, an increase in government purchases will raise the price level, but not production or employment. True or falseThe variable of most interest in economics is not: HH welfare in the aggregate Economic (consumer) welfare. The standard of living The balance of power in markets
- if actual real GDP is greater than the equilibrium level of real gdp what happens to restore equilibrium to the economy?All the following government policies are likely to increase the quantity of some products that are produced. But with one policy, this effect is a side-effect rather than the aim. Which policy is that?a) A policy intended to improve efficiency.b) The introduction of subsidies on some products.c) A policy intended to reduce unemployment.d) The introduction of taxes on the rich and transfers to the poor. Please dont use any AI tool.the phrase "a sustained increase in the average level of prices for goods and services in an economy over time" describes which of the following terms?
- If the price level falls, then the value of a dollar: A. Rises so people will buy more B. Rises so people will buy less C. Falls so people will buy more D. Falls so people will buy lessSuppose the government decides to borrow money. The equilibrium interest rate will _____ and the total amount borrowed will _____Describe how different parts of the economy may have experienced shifts and changes in supply and demand. Provide at least 4 examples.