Discuss four problems that complicate the application of fiscal policy, include a description of changes that will occur in each market e.g product function, labor market, goods market, comsumption function etc.
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Discuss four problems that complicate the application of fiscal policy, include a description of changes that will occur in each market e.g product
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- Question 5 Which of the following BEST shows fiscal policy? The Federal Reserve buys bonds. The United States increases trade with China. Oc The Central Bank decides to print more money. Congress passes a decrease in taxes. ©2021 Illuminate EducatinWhich of the following is true of indirect business taxes? a) They are included in corporate profits. b) They are not included in the GDP. c) They reduce the value of total economic output thereby reducing the value of the GDP. d) They are collected by business firms that act as agents for the government. e) They are the same as personal income taxes.Explain the Economic Concepts of the Fiscal Policy : 1. inception 2. tools 3. goals
- Fiscal policy consists of A) Money supply and interest rates. B) Taxes and government spending. C) Taxes and interest rates.Which one of the following statements regarding fiscal policy and the budget is correct?(a) When the government plans to stimulate economic activity, it can increasespending or reduce taxes;(b) Revenue from tax is always greater than government spending in SouthAfrica;(c) Demand management only refers to fiscal policy;(d) A contractionary fiscal policy should be implemented to combatunemployment.Consider the US budget for the fiscal year that ended on Sept 30 2023. Total government spending for the year was roughly [Select] During the year, the government collected roughly [Select] This means the government experienced a [Select] in taxes.
- The set of fiscal policies that would be most inflationary would be a(n) ___ Question 14 options: increase in government purchases and taxes. increase in government purchases and a decrease in taxes. decrease in government purchases and an increase in taxes. decrease in government purchases and taxes.Select the following government actions that would be considered part of fiscal policy. The government borrows money from the Federal Reserve system to increase the money supply. The government lowers taxes in order to stimulate the economy. Wages rise due to a good economy. The Federal Reserve lowers interest rates to stimulate the economy.Explain the elements or test of fiscal policy that play a critical role in economic development. And, how can the government analyze the fiscal policy?
- Match the term to the definition: Government spending is less than tax revenue for the fiscal year Government spending is greater than tax revenue for fiscal year A. Budget Deficit B. Budget SurplusDefine fiscal policy and explain the role of income taxes and government spending as fiscal policy tools.The following diagram shows changes in fiscal policy by the South African government from the beginning of 2008, until the end of 2014. Study it carefully and answer the question which follows. SOUTH AFRICA GOVERNMENT SPENDING 620000 **** 600000 580000 F N E EH A A EE E E 560000 540000 520000 500000 480000 460000 1/1/2008 1/1/2010 1/1/2012