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Which of the following policies will definitely increase the budget deficit, while achieving greater fiscal?

1.)Which of the following policies will definitely increase the budget deficit, while achieving greater fiscal stimulus? a.greater gov. expenditure and lower taxes b.greater gov. expenditure and higher taxes c.lower gov. expenditure and lower taxes d.lower gov. expenditure and higher taxes 2.)Which is an argument against balancing the federal budget? a.the fed gov. spends and interferes with the economy too much b.doing so may prevent the gov. from paying off its debts c.doing so may prevent the gov. from pulling the economy out of recession d.an increase in gov. spending and taxes by the same amount does not affect income 3.which is not considered to be depositiory institution a.federal reserve b.mutual savings banks c.savings and loan association d.commercial banks 4.)Which of the following sets the legal minimum reserve ratio? a.the commercial banks b.the u.s. treasury c.the federal reserve d.congress 5.)if the banking system has a required reserve ratio of 10 percent, the the money multiplier is a. 0.1 b. 0.9 c. 1.11 d. 10.0 6.)Monetary policy is set by the a. federal open market committee b. regional federal reserve banks c. federal advisory council d. board of govenors Please help me! Thankyou

Public Comments

  1. 1. a this increases the excess expenditures over revenue while increasing the money spent, and available to be spent. 2. c a balanced budget takes away the ability of the government to influence the economy during a recession by taking away fiscal policy tools. 3. a the public does not make deposits in the federal reserve. 4. c. 5. d. 1 / 0.1 = 10 6. a
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