The Tax Cuts and Entitlement Program Expansions of the 1980s

question 18

Multiple Choice

The tax cuts and entitlement program expansions of the 1980s led to such ________ federal deficits in the 1990s that fiscal policy ________ for smoothing-out business cycle fluctuations.

• A)small,again became the preferred tool
• B)small,was all but abandoned
• C)large,again became the preferred tool
• D)large,was all but abandoned

Understand the concept of standard hours and their use in variance analysis.

Learn the implications of using ideal vs. currently attainable standards in budgeting and variance analysis.

Gain insight into nonfinancial performance measures and their uses.

Understand the principles of cost behavior and how it impacts managerial accounting.

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Definitions:

Capitalist Society

An economic system where private individuals own the means of production and operate for profit, with minimal intervention from the government.

Competition And Adaptation

Competition And Adaptation refer to the process by which businesses or organisms respond to their competitive environment by making adjustments or innovations.

Marginal Land

Land of little agricultural value because inputs of labor and capital produce relatively low outputs of crops or livestock.

Joseph Schumpeter

An economist known for his theories on business cycles and innovation as the driving force behind capitalism.