The Canadian government spending in recent years has resulted in persistent deficits. This has made it to that they have had to increase borrowing. They must be careful since this will lead to Select one: Oa Crowding out O b. Transfer payments Oc. Implicit liabilities Od Automatic stabilizers

Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.

Asap both 1.a) Which of the following statements is correct?l.Expansionary fiscal policy is used to remove a recessionary gap.ll. Expansionary fiscal policy is used to shift AD right.A) l onlyB) I onlyC)both I and ID) neither I nor ll 1.b) Which of the following are examples of contractionary fiscal policy?A) decreasing government expendituresB) increasing taxesC) increasing transfer paymentsD) A and B are both contractionary fiscal policiesE) A, B, and C are all contractionary fiscal policies

6. If deficit spending "crowds out" some private investment, could fututre generations be worse off? If external financing eliminates crowding out, are future generations thereby protected?

Impact of budget deficits

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Select the correct option and explain why it is correct :  a) Critics of discretionary fiscal policy argue that discretionary policy : 1) has uncertain effects 2) has an impact lag that is too short. 3) raises more inflation than policy rules. 4) has long recognition and implementation lags. b) The largest share of expenditures by state and local governemtnn is for :  1) Transfer payment 2) national defense 3) law enforcement 4) purchase of goods and services c) Countercyclical fiscal policy is designed to :  1) shift the inflation adjustment line so that real GDP is equal to potential GDP 2) reduce unemployment further when it is already at a low level 3) increase potential GDP 4) shift the aggregate demand curve so that real GDP equals potential GDP. d) Which of the following types of taxes provide the most revenue for the federal governemtn 1) Payroll taxes 2) income taxes 3) Sales taxes 4) corporate taxes

ANSWER A AND B ONLY

The economy of Djibulistan is initially in long-run equilibrium. Then the CentralBank of Djibulistan increases the money supply.a. Assuming unexpected inflation as a result of the above-mentioned policy,explain any changes in output, unemployment, and inflation that arecaused by the monetary expansion. Explain your answer and conclusionsusing three graphs: IS-LM, AD-AS, and the Phillips curve. b. Assuming instead that resulting, inflation is expected, explain any changesin output, unemployment, and inflation that are caused by the monetaryexpansion. Explain your answer and conclusions using three graphs: ISLM, AD-AS, and the Phillips curve.

Choose correct option. Correctly now