In the Keynesian Model,the Difference Between Using Monetary and Fiscal

question 59

Multiple Choice

In the Keynesian model,the difference between using monetary and fiscal policy to eliminate a recession is that

• A)monetary policy will eliminate a recession quicker than fiscal policy will.
• B)fiscal policy will eliminate a recession quicker than monetary policy will.
• C)an expansionary monetary policy will leave the economy with a lower real interest rate than an expansionary fiscal policy.
• D)an expansionary fiscal policy will leave the economy with a lower real interest rate than an expansionary monetary policy.

Understand the impact of myelin sheath in neuron functioning and related disorders.

Explain the all-or-nothing principle and how neurons transmit signals.

Understand the hormonal regulation of the body's fluid and electrolyte balance.

Recognize the characteristics and purposes of different types of IV solutions.

---

Definitions:

Incremental Cash Flows

The additional cash flow a company generates from a particular investment or project, compared to not undertaking the project.

Net Present Value

A method used in capital budgeting to assess the profitability of an investment by calculating the difference between the present value of cash inflows and outflows.

MACRS

MACRS, or Modified Accelerated Cost Recovery System, is a method of depreciation in the United States that allows for faster asset expense recovery over time for tax purposes.

Cash Flows

The movement of money into and out of a business or project, considered crucial for gauging its financial health.