Supply-siders ignore the effects of tax cuts on a, aggregate supply. b. aggregate demand. c, aggregate demand and aggregate supply. d.none of these . Give explanation for answer
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Supply-siders ignore the effects of tax cuts on
a, aggregate
b. aggregate demand.
c, aggregate demand and aggregate supply.
d.none of these .
Give explanation for answer
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- During an economic _______, there is a decline in economic activity, including falling GDP, rising unemployment, and reduced consumer spending. To combat this, governments often implement _______ fiscal policies to stimulate the economy. A) expansion, contractionaryB) downturn, expansionaryC) boom, contractionaryD) recession, expansionary.Fiscal drag is where Select one: a.there is a lag in government spending having any effect. b.increases in nominal wages push taxpayers up tax brackets. c.increases in government spending hold back economic growth. d.taxpayers look for ways to avoid paying tax they perceive is unfair.consumers increased consumption by a relatively small amount in 2008 and 2009 because thet believe the tax cuts temporary. true or false
- If the government wants to expand aggregatedemand, it can _________ government purchases or_________ taxes.a. increase; increaseb. increase; decreasec. decrease; increased. decrease; decrease20. . If US economy moves into an expansion while producing more than potential GDP, then: a) government spending and tax revenue will increase because of automatic stabilizers. b) government spending and tax revenue will decrease because of automatic stabilizers. c) automatic stabilizers will increase government spending and decrease tax revenue. d) automatic stabilizers will decrease government spending and increase tax revenue.Fiscal policy is spending and taxation of the executive branch of the federal government; in recessionary times, what initiatives in spending and or taxation are going to help the economy?
- The Government and Fiscal Policy (chapter 16) If inflation is a major issue in the economy, what would be the correct fiscal policy response from an economic perspective? Why would members of Congress be unlikely to support such actions? Note: please do not give a copy & paste answer from Chegg. or course heroIf Canada's economy moves into an expansionary phase of the business cycle, then: Group of answer choices A. government spending and tax revenue will increase because of automatic stabilizers. B.government spending and tax revenue will decrease because of automatic stabilizers. C.automatic stabilizers will decrease government spending and increase tax revenue. D.automatic stabilizers will increase government spending and decrease tax revenue.Should the government fight recessions with spending hikes rather than tax cuts ? Explain.
- Will increased government spending always lead to crowding out if the economy is not at full employment? (Consider the case in which the increased spending involves transfer payments rather than the purchase of goods and ser vices.)Always use economic terms, diagrams. "Counter-cyclical fiscal policy works. If consumers and businesses lose confidence because of the changing world, the government can fix this economic problem - that is what the Biden $1.9 trillion stimulus was all about. Sure, there might be some issues with the deficit, but given a recovery, the government can pay that deficit off. Also, since we are in a very inflationary period again we might expect counter-cyclical fiscal policy to resolve some of the debt issues." Please explain this comment. (Hint: don't forget to use an AS AD diagram and possibly a business cycle diagram).DYNAMIC TAX SCORING—WHAT IS IT, AND WHO WANTS IT? Go to www.google.com and search for information on “dynamic tax scoring.” What is it? How does it relate to supply-side economics? Which political groups support this approach, and why? What groups oppose it, and why?
