Question: Which of the following is an example of a fiscal policy that has no inside lag? a- A reduction in interest rates. b- A reduction in the age at which people become eligible for retirement benefits. c. An ongoing unemployment insurance program. d. A decrease in income tax rates. e. An increase in goverment spending for job training

Q: What is meant by fiscal policy? How far can it be used to ensure, a high level of employment?

A: In a market economy, decisions are taken by the market forces and the government has limited…

Q: Q11. For various reasons, fiscal policy changes automatically when output and employment fluctuate.…

A: Recession: - it is an economic condition where the overall economic activity declines in an economy.

Q: 3.3 Identify each of the following as (i) part of an expansionary fiscal policy, (ii) part of a…

A: Fiscal policy includes taxation and government spending. Expansionary fiscal policy-reducing taxes…

Q: If the objective of fiscal policy is to stabilize (achieve full-employment (potential) GDP and…

A: A balanced budget is a circumstance in monetary planning or the budgeting technique where total…

Q: Q2: Describe what a fiscal automatic stabilizer is. Given an example.

A: NOTE: We’ll answer the first question since the exact one wasn’t specified. Please submit a new…

Q: A government budget shows the primary deficit of 6100 billion the revenue expenditure on interest…

A:

Q: What is fiscal policy and why it’s important?

A: Fiscal policy is used to control the affects of business cycles in the economy. In times of…

Q: Suppose that you are a member of the Council of Economic Advisers. The president has asked you to…

A: The COVID-19 has contributed to worsening economic conditions in the United States and around the…

Q: Which one of the following statements regarding fiscal policy and the budget is   correct?(a) When…

A: The two kinds of macroeconomic policies adopted to tackle the demand or supply shocks faced by an…

Q: Why is spending by the U.S. government on scientific research at NASA fiscal policy while spending…

A: NASA is maintained and managed by the U.S government and the universities are maintained by the…

Q: DEFINE FISCAL POLICY. WOULD THE INCREASE OF $100 IN GOVERNMENT SPENDING HAVE THE SAME EFFECT ON GDP…

A: Fiscal policy is known as stabilizing policy in which government changes government spending or…

Q: What's the difference between the debt and a deficit? Expansionary fiscal policy involves increasing…

A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and…

Q: Why is the tax multiplier smaller than the government spending multiplier?

A: In a market, the government has two ways to influence the behavior of market factors. It may change…

Q: Compare and contrast the use of government spending changes versus tax changes as a means of…

A: Both fiscal policies whether it is the use of government spending and use of tax changes are…

Q: A government increases the corporate tax rate from 15 to 17% in an economic recession. Fiscal policy…

A: Fiscal policy can be of two types, procyclical and anticyclical.

Q: 8) Which of the following would not be considered an automatic stabilizer? A) legislation increasing…

A: Automatic stabilizers can be defined as the automatic changes that occur in the government imposed…

Q: Suppose the economy has unemployment level close to 15%. A proper fiscal policy might be which of…

A: Unemployment occurs when people who are able, willing and looking for jobs are unable to find jobs.…

Q: Our federal government establishes a budget that determines what programs and services can be…

A: Answer- Need to find- Our federal government establishes a budget that determines what programs and…

Q: Who is in charge of fiscal policies, and how do their different multipliers work?

A: The fiscal policy is the use of the government budget to affect an economy. when the government…

Q: True or False and explain: Fiscal Policy is effective at reducing the duration of an economic…

A: Fiscal policy refers to the method of government spending and tax policies to control the economic…

Q: 1-Expansionary fiscal policy is ineffective if* a-There is long run equilibrium b-There is complete…

A: Fiscal policy can be expansionary if government attempts to raise output either by increasing…

Q: In 10+ sentences, explain how we can eliminate the national debt using fiscal policy. Explain how we…

A: The use of government spending and tax policies to influence economic conditions, especially…

Q: 3. In each of the following cases, explain whether the fiscal policy is expansionary,…

A: The use of government revenue collection (taxes or tax cuts) and expenditure to impact a country's…

Q: Using examples from 2008-currently, explain fiscal policy. In your answer be sure to include what…

A: Main objective of any economy is stabilisation, economic growth, employment generation and poverty…

Q: Explain the 3 types of lag we should be concerned about when implementing fiscal policy?

A: When a policy is implemented there are certain lags due to the difference in the period when the…

Q: A government starts with no debt and then borrows $10 billion per year for four years.How much are…

A: The deficit is the amount by which a budget's expenses exceed its profits. The amount of money in…

Q: Explain 3 ways the Canadian Government might use fiscal policy to attempt to stimulate an economy…

A: Expansionary Fiscal policy is used as a means to shift the aggregate demand curve outwards during…

Q: Fiscal Policy

A: Introduction of Fiscal policy:-It is a policy via which a government makes adjustments in its tax…

Q: Economic situation: The economy is suffering from an unemployment problem created by too little…

A: A fiscal policy of expansionary nature works when the nation is going through a low, and it will…

Q: Suppose the economy has unemployment level close to 15%. A proper fiscal policy might be which of…

A: Fiscal Policy involves use of government spending and taxation in order to influence the economy.…

Q: Which of the following is a reason for using expansionary fiscal policy during a recession? a)…

A: A recession is a period of economic slowdown. It is defined as a significant decline in economic…

Q: Activity 4.1 Which of the following would be classed as an expansionary fiscal policy? a) An…

A: Hey champ, Welcome to this platform. Here you will get the answer with better quality in minimum…

Q: Compare two fiscal policies: a tax cut on income or an increase in government spending on roads and…

A: FP is a tool of government to stimulate the economy. It includes government expenditure and taxes,…

Q: When the government spends more than it takes in taxes it must borrow money to finance its…

A: When the state spends more than tax collection, the budget is said to be in deficit. When the state…

Q: Which one of the following statements regarding fiscal policy and the budget is (2) correct?(a) When…

A: Fiscal policy delineates the efforts planned  by the government with a view to stabilize the prices…

Q: When governments run budget deficits, how do they make up the differences between tax revenue and…

A: A government budget is a statement of its planned expenditures and revenue receipts for a given time…

Q: Assume the economy has entered a recession. Identify two fiscal policy actions that could be used to…

A: The recession would result in the fall in the output and the fall in the GDP . The recession would…

Q: If GDP in Makala is $300, what is the government's budget balance? b) If government spending is…

A: (a) At real GDP of $300, net tax revenue (NTR) is 120, and government spending (G) is 160 If G>…