A Reason Why Discretionary Fiscal Policy Might Move the Economy

question 4

Multiple Choice

A reason why discretionary fiscal policy might move the economy away from potential GDP instead of toward potential GDP is that

• A) government programs are always expansionary.
• B) during a recession, politicians prefer increases in government spending over decreasing taxes.
• C) government programs automatically move real GDP away from potential GDP.
• D) it is difficult to know whether real GDP is above or below potential GDP.
• E) economic forecasts consistently underestimate the impact of fiscal policy.

Recognize the role and impact of leading record labels in the global music industry.

Comprehend the significance of freedom of information and the factors that affect its validation.

Grasp the concept of cultural exception and its evolution in defending cultural diversity.

Identify concerns regarding the free flow of information across national boundaries.

---

Definitions:

Family Size

The number of individuals in a household related by blood, marriage, or adoption.

Poverty Line

The minimum level of income deemed necessary to achieve an adequate standard of living in a given country, helping to identify individuals and households in need.

Poverty Thresholds

The minimum income levels set by a government that determine who is considered to be living in poverty.

U.S. Bureau of the Census

A principal agency of the U.S. Federal Statistical System, responsible for producing data about the American people and economy.