Fiscal Policy
If the US was in recession what kind of fiscal policy would we use?
Expansionary
What is the variable associated with net imports?
Xn
If the country is in a recession what should the government do on the open market?
Buy more bonds
What is the fundamental problem of economics?
Scarcity
What is Mr. St. Clair's alma mater?
Santa Clara University
If the US was under an inflation period what kind of fiscal policy would the US use?
Contractionary
What country is the US’ top trade partner?
Mexico
If the government plans to increase excess reserves what should the government do to the discount rate?
Decrease discount rate
What is defined as the cost of the next best alternative
Opportunity Cost
Where does Matt St. Clair work?
Maserati of Huntington Beach
With respect to unemployment, when would expansionary fiscal policy be used?
When the unemployment rate is too low.
When this determinant of exchange rates rises, it causes the country’s currency to appreciate by attracting foreign investment
Interest rates
If the government has 1000 dollars in reserves, 200 in required reserves, and 800 in loans, how much can be put into the excess reserve?
0 dollars
Full employment is what percent of the labor force working?
95%
Who is Mr. St. Clair the legal guardian of?
Mr. Madrid
When using fiscal policy there are two methods of altering the output however, altering which one of these is more effective?
Government Spending
This law states that even if one country can produce all its products better than another, it should still specialize in what it does best and trade
Law of Comparative advantage
If the reserves are 1000 and the required reserves are 20%, how much can be loaned out?
800 dollars
Which latin term means "all other things equal"?
Ceteris Paribus
Why didn't Mr. St. Clair shave his head this year?
His wife wanted him to look good in the Christmas card