Fiscal Policy Affects the Economy

question 42

Multiple Choice

Fiscal policy affects the economy

• A)only in the short run.
• B)only in the long run.
• C)in both the short and long run.
• D)in neither the short nor the long run.

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Definitions:

Laundry Services

A service offering washing, drying, and often ironing of clothes and linens for customers.

Stockholders

Owners of a corporation due to their purchase of stock in the corporation.

Family-Owned Businesses

Enterprises owned and operated by members of one or more families, often passed down through generations.

Closed Corporations

A type of corporation that is held by a few owners, does not offer its stocks for public sale, and is exempt from certain regulations.