When Comparing a $100 Billion Increase in Government Expenditure to a $100

question 24

Multiple Choice

When comparing a $100 billion increase in government expenditure to a $100 billion decrease in tax revenue, the effect of the increase in government expenditure on aggregate demand is

• A) negative, whereas the effect of the tax decrease is positive.
• B) positive, whereas the effect of the tax decrease is negative.
• C) greater than the effect of the tax decrease.
• D) equal to the effect of the tax decrease.
• E) less than the effect of the tax decrease.

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Definitions:

Forced Distribution Method

A performance evaluation method that assigns a certain percentage of employees to predetermined categories, such as high, average, or low performers, often resulting in a bell curve distribution.

Performance Appraisal

The method of assessing a worker's performance and output in comparison to predefined standards and the goals of the organization.

Job Enlargement

Job enlargement increases task variety by combining into one job two or more tasks that were previously assigned to separate workers.

Job Enrichment

Job enrichment builds high-content jobs that involve planning and evaluating duties normally done by supervisors.