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Question and answer
Q: Consider if the government instituted a 10 percent income tax surcharge. In terms of the AS/AD model, this change should have A. shifted the AD curve to the left B. shifted the AD curve to the
right C. made the AD curve flatter D. made the AD curve steeper
A: C. made the AD curve flatter
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Original conversation
User: Consider if the government instituted a 10 percent income tax surcharge. In terms of the AS/AD model, this change should have A. shifted the AD curve to the left B. shifted the AD curve to the right C. made the AD curve flatter D. made the AD curve steeper

Weegy: C. made the AD curve flatter
cr7|Points 112|

User: If the depreciation of a country's currency increases its aggregate expenditures by 20, the AD curve will A. shift right by more than 20 B. shift right by less than 20 C. shift right by exactly 20 D. not shift at all

Weegy: A. shift right by more than 20
scijoe21|Points 2145|

User: Aggregate demand management policies are designed most directly to A. minimize unemployment B. minimize inflation C. control the aggregate level of spending in the economy D. prevent budget deficits or surpluses

Weegy: D. prevent budget deficits or surpluses
danichix|Points 63|

User: Suppose that consumer spending is expected to decrease in the near future. If output is at potential output, which of the following policies is most appropriate according to the AS/AD model? A. An increase in government spending B. An increase in taxes C. A reduction in government spending D. No change in taxes or government spending

Weegy: B. An increase in taxes
brenda143|Points 141|

User: According to Keynes, market economies A. never experience significant declines in aggregate demand B. quickly recover after they experience a significant decline in aggregate demand C. may recover slowly after they experience a significant decline in aggregate demand D. are constantly experiencing significant declines in aggregate demand

Weegy: C. may recover slowly after they experience a significant decline in aggregate demand
scijoe21|Points 2145|

User: The laissez-faire policy prescription to eliminate unemployment was to A. eliminate labor unions and government policies that hold real wages too high B. strengthen unions and government regulations protecting unions and workers C. increase real wages so that people are encouraged to work D. have government guarantee jobs for everyone

Weegy: A. eliminate labor unions and government policies that hold real wages too high
ailahmi|Points 50|

User: In the AS/AD model, an expansionary monetary policy has the greatest effect on the price level when it A. increases both nominal and real income B. increases real income but not nominal income C. increases nominal income but not real income D. doesn't increase real or nominal income

Weegy: The answer is A. increases both nominal and real income
carlaloo|Points 22|

User: The Federal funds rate A. is always slightly higher than the discount rate B. can never be close to zero C. may sometimes have to be targeted at zero D. is an intermediate target

Weegy: The answer is C, may sometimes have to be targeted at zero.
falloutgirl19|Points 741|

User: What tool of monetary policy will the Federal Reserve use to increase the federal funds rate from 1% to 1.25%? A. Open-market operations B. The discount rate C. A change in reserve requirements D. Margin requirements

Weegy: C. A change in reserve requirements
chubang|Points 391|

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Asked 9/3/2012 11:36:39 PM
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