What is true or false?
fiscal policy uses taxation and government spending to achieve macroeconomic aims.
What is true?
a sales tax that lowers supply which increases costs and then lowers demand
what affects price and quantity?
a government charge on income, wealth or spending
what is taxation?
A tax on the conspicuous consumption of the wealthy
What is a progressive sales tax?
corporation tax
What is a direct tax on the income of firms?
an approach that is designed to shrink the economy is a fiscal contraction policy
What is false?
contractionary fiscal policy
a sales tax on demerit goods and services
what affects social behaviour?
the government’s financial plan for income and expenditure
what is the government budget?]
a tax on the profits of all firms
What is a proportional corporate tax?
income tax
What is a direct tax on the income of workers?
an approach that the is designed to grow the economy is an expansionary fiscal policy
What is true?
a high tax on capital gains that results in businesses deciding to not locate in a nation
what affects business location?
when the government spends more than its income
what is a budget deficit?]
a tax on the income of low-income household’s
What is a regressive income tax?
corporation tax
What is an indirect tax on the spending of households?
taxation and government spending don’t always affect the five macroeconomic areas
What is false?
They always affect the 5 macroeconomic areas!
a reduction in income tax that lightens the tax burden on workers, which increases demand resulting in the need for a great supply of goods or services
what affects economic growth?
the amount of tax that households and firms must pay to the government
what is the tax burden?
an steadily increasing tax on the income and savings passed on to the children of high-income households
What is a progressive inheritance tax?
stamp duty
What is a direct tax on the income from the salle of a property?
an approach that grows the economy is an expansionary fiscal policy
What is false?
an indirect tax on spending that results in increased prices that then reduces demand resulting in less supply and lower prices
what affects inflation?
the use of taxation and government spending plans to influence the economy
what is a fiscal policy?]
a steadily decreasing tax on properties being bought
What is regressive stamp duty?
customs duty
What is an indirect tax on the income from trade?