Understanding Fiscal Policy
These two divisions of government are responsible for fiscal policy.
What is the president and congress?
This branch of the government is responsible for proposing the US budget.
What is the President?
The Federal Reserve was created in this year.
What is 1913?
The Federal Reserve will do this to interest rates during times of high inflation.
What is raise?
There are this many members of the Federal Reserve Board of Govenors
What is 7?
Fiscal policies, like higher spending and tax cuts, that encourage economic growth.
What are expansionary policies?
A shortfall that is created when the government spends more in a fiscal year than it receives.
What is a deficit?
The 3 main parts of the Fed are the Board of Governors, the Reserve Banks, and this.
What is the Federal Open Market Committee (FOMC)?
The Federal Reserve will do this to reserve requirements during a time of high unemployment.
What is lower?
Members of the Federal Reserve Board serve for this many years.
What is 14?
Lower taxes are generally favored by this political party.
What is the Republican Party?
A period of time for financial accounting that is determined by an organization?
What is a Fiscal Year?
There are this many Federal Reserve Banks.
What is 12?
The Federal Reserve will do this when the GDP growth rate is at 3%.
What is monitor inflation & unemployment?
This monetary policy is used during when a contraction is nearing the trough.
What is expansionary policy?
Fiscal policies, like lower spending and higher taxes, that reduce economic growth.
What are contractionary policies?
The accumulation of years and years of deficit spending.
What is the national debt?
It is the responsibility of this part of the FED to supervise banks.
What is the regional banks?
The FED will do this to government securities to increase the money supply.
What is buy?
This type of fiscal policy is favored by neither political party.
What is contractionary?
A plan for the federal government's revenues and spending for the coming year.
What is the federal budget?
This occurs when the government takes in more tax revenue than it spends.
What is a surplus?
This regional bank has a permanent seat on the FOMC.
What is the Reserve Bank of NY?
This part of the FED is responsible for buying and selling government securities.
What is the FOMC?
Taxes that place a higher burden on the poor.
What are regressive taxes?