If Lags Cause the Effects of Fiscal Policy to Be

question 49

Multiple Choice

If lags cause the effects of fiscal policy to be delayed for a long period of time,

• A) the policy will magnify recessions and eliminate expansion.
• B) there is no way the policy can smooth out the business cycle.
• C) the policy will magnify expansions and eliminate recessions.
• D) fiscal policy will do nothing to the economy.
• E) there is a risk that the policy can actually magnify the business cycle.

Comprehend the significance of reciprocity in organizational behavior.

Describe concepts and strategies for managing organizational behavior.

Recognize the importance of situational approaches in management.

Understand the impact and management of emotions in organizational settings.

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Definitions:

Creditors

Creditors are individuals or entities that lend money or extend credit, and are owed repayment by debtors.

Capital Balance

The amount of money that a company has in its capital account, reflecting the total capital invested by shareholders and retained earnings.

Federal Income Taxes

Taxes imposed by the federal government on the annual earnings of individuals, corporations, trusts, and other legal entities.

Partnership

A sanctioned business setup where a group of individuals co-manage the operation and share the resulting income.