Economics and Gov. EOC

Front

Who is in charge of our nation's FISCAL policy?

Back

Congress

Front

Who is in charge of our nation's MONETARY policy?

Back

Federal Reserve

Front

Which of the following are examples of fiscal policy? Interest Rates, Taxing and spending, Open Market Operations, Banking Regulations

Back

Taxing and spending

Front

Which of the following is an example of monetary policy? Interest Rates, Taxing and Spending, Borrowing, Environmental Laws

Back

Interest Rates

Front

If "the Fed" wants to stimulate economic growth, what action are they likely to take? Options: cut taxes, borrow money, cut interest rates, raise the reserve requirement

Back

cut interest rates

Front

If "the Fed" wants to fight inflation, which action are they most likely to take? Options: increase spending, cut government salaries, lower interest rates, raise interest rates

Back

raise interest rates

Front

Who keeps track of how much money is in circulation at any given time?

Back

Federal Reserve

Front

If Congress wants to stimulate economic growth, what will they do? Options: Increase Taxes, Raise the reserve requirement, buy T Bill, Lower Taxes

Back

Lower Taxes

Front

What actions might Congress take to CONTRACT the economy (contractionary policy)?

Back

decrease government spending and increase taxes

Front

WHY might Congress raise taxes and decrease government spending (CONTRACTIONARY policy)?

Back

to lower/decrease aggregate demand