Economic Policy: Influential Theories — Unit test Answers

expansionarycontractionaryproportional

A graph shows the U S Government and Expenditures from 1980 to 2010. The money spent and money received generally follow the same trend, but around 2008, the amount of money spent increased and money received decreased.

When a government creates a budget, it is seeking a way to

Milton Friedman led a new economic school of thought called

Regulatory policy requires a balance between protecting safety and

The diagram shows a challenge for government policy-makers.

Economists studying the money supply categorize the status of the money based on

Which best describes a central bank's primary role?

What is a potential negative effect of an expansionary policy?

What is the full name of the US central bank, known as the Fed?

What are economic challenges that governments must face? Check all that apply.threats of warunemploymentlow productioninflationlow voter turnout

proportionallyprogressivelyregressively

Which statement best describes the likely effects of an expansionary fiscal policy?

Revenue and expenditures are sitting on a balance. Expenditures are lower than revenue.

Which of these effects of expansionary spending would a government most want to avoid?

Which of these is a banking activity of the Fed?

Monetarism plays a role in economic growth by

Which are results of regulation in a mixed-market economy? Check all that apply.

The Food and Drug Administration sets standards for

What is a primary economic goal of governments?