Econ Final 13

When the Federal government uses taxation and spending actions to stimulate the economy it is conducting:

When the Federal government takes budgetary action to stimulate the economy or rein in inflation, such policy is:

When changes in taxes and government spending occur in the economy without explicit action by Congress, such policy is:

Fiscal policy is enacted through changes in:

The group that often initiates changes in fiscal policy is the:

If Congress passes legislation to increase government spending to counter the effects of a recession, then this would be an example of a(n):

If the U.S. Congress passes legislation to raise taxes to control demand-pull inflation, then this would be an example of a(n)

The set of fiscal policies that would be most contractionary would be a(n):

The intent of contractionary fiscal policy is to:

The goal of expansionary fiscal policy is to increase:

If the government wishes to increase the level of real GDP, it might reduce:

If the economy is in a recession and prices are relatively stable, then the discretionary fiscal policy or policies that would most likely be recommended to correct this macroeconomic problem would be:

The economy starts out with a balanced Federal budget. If the government then implements expansionary fiscal policy, then there will be a:

When government spending is increased, the amount of the increase in aggregate demand primarily depends on:

If a government wants to pursue an expansionary fiscal policy, then a tax cut of a certain size will be more expansionary when the:

Which of the following is an example of built-in stability? As real GDP decreases, income tax revenues:

If government tax revenues automatically change in a countercyclical direction over the course of the business cycle, this would be called a(n):

The so-called "negative taxes" are better known as:

Due to automatic stabilizers, when income rises, government transfer spending:

Assume that the economy is in a recession and there is a budget deficit. A strict balanced-budget amendment that would require the Federal government to balance its budget during a recession would be:

The last year when there was a surplus in the actual U.S. Federal budget was in:

The American Recovery and Reinvestment Act of 2009 included mostly:

One timing problem with fiscal policy to counter a recession is a "recognition lag" that occurs between the:

One timing problem with fiscal policy to counter a recession is an "operational lag" that occurs between the:

One timing problem with fiscal policy to counter a recession is an "administrative lag" that occurs between the:

The time which elapses between the beginning of a recession or an inflationary episode and the identification of the macroeconomic problem is referred to as a(n):

The lag between the time the need for fiscal action is recognized and the time action is taken is referred to as the:

Proponents of the notion of a "political business cycle" suggest that:

State and local governments are limited in their ability to respond to recessions because of:

The crowding-out effect suggests that:

The crowding-out effect arises when:

The crowding-out effect works through interest rates to: