If the Policy Makers Implement a Tax Cut as a Discretionary

question 144

Multiple Choice

If the policy makers implement a tax cut as a discretionary fiscal policy to combat a recessionary gap, it may fail to achieve its objective if:

• A)the households think of it as a permanent policy.
• B)the households think of it as a temporary policy.
• C)the households think of it as a 10 year program.
• D)the households think of it as a loss of revenue for the government.

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Definitions:

Phantom Limb Phenomenon

The sensation that an amputated or missing limb is still attached to the body and is moving appropriately with other body parts.

Human Retina

The light-sensitive layer of tissue at the back of the inner eye, which includes cells that convert light into neural signals for visual recognition.

Highly Detailed Vision

A superior visual acuity that encompasses the ability to see fine details with clarity and precision.

Macula

A small central area of the retina in the eye, responsible for sharp, detailed central vision.