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6 Written questions

6 Multiple choice questions

  1. the change in government expenditures or taxes which occurs automatically as a result of existing laws
  2. real-balances effect
    interest rate effect
    foreign purchases effect
  3. Savings/Disposable income
  4. Operating costs
    Business taxes
    Technological changes
    Stock of capital goods
    Planned inventory changes
  5. Change in consumption/Disposable income
  6. leftward shift in the AS curve

5 True/False questions

  1. Relationship between changes in spending vs. the changes in real GDP.input prices


  2. Contractionary fiscal policydeliberate manipulation of taxes and government spending by the Congress to alter real domestic output and employment, to control inflation, and to stimulate economic growth during a particular period of time


  3. Multiplier Effectleftward shift in the AS curve


  4. Instability of investmentleftward shift in the AS curve


  5. Consumptionleftward shift in the AS curve