Fiscal Policy Actions That Are Intended to Have Long-Run Effects

question 297

Multiple Choice

Fiscal policy actions that are intended to have long-run effects on real GDP attempt to increase ________ through changing ________.

• A)aggregate demand; government spending
• B)aggregate supply; taxes
• C)aggregate demand; taxes
• D)aggregate supply; government spending

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Definitions:

Continental Shelf

The extended perimeter of each continent, covered by relatively shallow seas and gulfs, which is important for marine life, ecology, and human economic activities.

Ocean Province

A broad region within an ocean characterized by specific oceanographic or ecological features.

Neritic

Relating to the shallow part of the sea near a coast and overlying the continental shelf, characterized by abundant marine life.

Intertidal Zone

The coastal area that is exposed to the air at low tide and submerged at high tide.