1. The TRAIN Law which includes a cut in personal income tax aims to put more money into the hands of consumers. II. As part of its priorities, the Duterte administration implemented a significant increase in the budget for the Build, Build, Build program. III. Bangko Sentral ng Pilipinas increased key policy rates in response to rising inflationary pressures. IV. Inflation may be above the target or forecast of Bangko Sentral ng Pilipinas. V. Bangko Sentral ng Pilipinas increased key policy rates in response to expand money supply. Which of the statements is/are examples of expansionary monetary policy? O a. Ill only O b. Ill and V O c. V only O d. None of the statements are examples of expansionary monetary policy

1. The TRAIN Law which includes a cut in personal income tax aims to put more money into the hands of consumers. II. As part of its priorities, the Duterte administration implemented a significant increase in the budget for the Build, Build, Build program. III. Bangko Sentral ng Pilipinas increased key policy rates in response to rising inflationary pressures. IV. Inflation may be above the target or forecast of Bangko Sentral ng Pilipinas. V. Bangko Sentral ng Pilipinas increased key policy rates in response to expand money supply. Which of the statements is/are examples of expansionary monetary policy? O a. Ill only O b. Ill and V O c. V only O d. None of the statements are examples of expansionary monetary policy

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Refer to the following statements for items 6-9. 1. The TRAIN Law which includes a cut in personal income tax aims to put more money into the hands of consumers. II. As part of its priorities, the Duterte administration implemented a significant increase in the budget for the Build, Build, Build program. III. Bangko Sentral ng Pilipinas increased key policy rates in response to rising inflationary pressures. IV. Inflation may be above the target or forecast of Bangko Sentral ng Pilipinas. V. Bangko Sentral ng Pilipinas increased key policy rates in response to expand money supply Which of the statements is a monetary policy that will likely ease inflationary pressure? O a. III and V O b. III only O c. V only O d. I only
Refer to the following statements for items 6-9. 1. The TRAIN Law which includes a cut in personal income tax aims to put more money into the hands of consumers. II. As part of its priorities, the Duterte administration implemented a significant increase in the budget for the Build, Build, Build program. III. Bangko Sentral ng Pilipinas increased key policy rates in response to rising inflationary pressures. IV. Inflation may be above the target or forecast of Bangko Sentral ng Pilipinas. V. Bangko Sentral ng Pilipinas increased key policy rates in response to expand money supply. Which of the statements is/are examples of expansionary fiscal policy? O a. All statements except IV O b. Ill only O c. III and V d. I and II Clear my choice
Refer to the following statements for items 6-9. 1. The TRAIN Law which includes a cut in personal income tax aims to put more money into the hands of consumers. II. As part of its priorities, the Duterte administration implemented a significant increase in the budget for the Build, Build, Build program. III. Bangko Sentral ng Pilipinas increased key policy rates in response to rising inflationary pressures. IV. Inflation may be above the target or forecast of Bangko Sentral ng Pilipinas. V. Bangko Sentral ng Pilipinas increased key policy rates in response to expand money supply. Which of the statements is/are examples of expansionary fiscal policy? O a. All statements except IV O b. Ill only O c. III and V O d. I and II
Refer to the following statements for items 6-9. 1. The TRAIN Law which includes a cut in personal income tax aims to put more money into the hands of consumers. II. As part of its priorities, the Duterte administration implemented a significant increase in the budget for the Build, Build, Build program. III. Bangko Sentral ng Pilipinas increased key policy rates in response to rising inflationary pressures. IV. Inflation may be above the target or forecast of Bangko Sentral ng Pilipinas. V. Bangko Sentral ng Pilipinas increased key policy rates in response to expand money supply. Which of the statements is incorrect? O a. V only O b. III and IV O c. IV and V O d. None, all statements are correct
Which of the following is an effective fiscal tool to control inflation in boom times?a) Reducing government spendingb) Increasing government spendingc) Decreasing taxationd) Increasing money supply
1. The TRAIN Law which includes a cut in personal income tax aims to put more money into the hands of consumers. II. As part of its priorities, the Duterte administration implemented a significant increase in the budget for the Build, Build, Build program. III. Bangko Sentral ng Pilipinas increased key policy rates in response to rising inflationary pressures. IV. Inflation may be above the target or forecast of Bangko Sentral ng Pilipinas. V. Bangko Sentral ng Pilipinas increased key policy rates in response to expand money supply Which of the statements is a monetary policy that will likely ease inflationary pressure? a. III and V O b. Ill only O c. V only O d. I only Which of the following describes Country A with a budget deficit? a. Country A's revenue and spending are equal. O b. Country A has a positive budget balance. O c. Country A's revenue is greater than its spending. O d. Country A's spending is greater than its revenue.
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In the 1960s the U.S entered the Vietnam War, and military expenditures (part of government expenditures) grew from an annual rate of $113 billion to 138 billion. The economy was near full-employment and, therefore, given there was no offsetting tax increase, inflation pressures emerged. Assume the MPC is .75 A) How did the increase in military expenditures affect AD? B) If in 1968 the AD Excess was $150 billion, what change in government expenditures would you have recommended?
1. With the country in a recession, you are to draw up a plan on how to stimulate the economy. You are a Keynesian and you decide to use a stimulus check approach as the best way to prime the pump. The economy has slipped back from an equilibrium level of Real GDP of 7.5 trillion dollars to 6.5 trillion dollars. The equilibrium CPI is 165. If the MPC is 0.80 how much will government spending have to increase to bring the economy to full employment? Draw a graph from the "Neo Keynesian" perspective labeling all the curves and axes, clearly illustrating where the economy is and where it wants to be.
Suppose that people consume only three goods, as shown in this table: 2020 Price Quantity 2021 Price Quantity Tennis Balls Percentage Change $2 100 True $2 100 False Golf Balls Bottles of Gatorade $4 100 $6 100 Complete the following table by computing the percentage change in price for each of the three goods. $2 200 $3 200 Tennis Balls Golf Balls Bottles of Gatorade 0% 50% Using a method similar to that used to calculate the consumer price index, the percentage change in the overall price level is 50 True or False: If you were to learn that a bottle of Gatorade increased in size from 2020 to 2021, that information would raise your estimation of the inflation rate. %