1
Which economic school of thought believes that the government should use deficit spending to help the economy recover from a recession?
Keynesian Economics
What does the government do when they use contractionary fiscal policy?
Decrease spending and increase taxes.
Who was the founder of Classical Economics?
Adam Smith
What changes would be used during Easy Money policy?
Buy government securities
Decrease reserve requirements
Decrease discount rate
Increasing taxes will do what to inflation?
Reduce Inflation
When FDR created the New Deal project, he was using what economic school of thought?
Keynesian Economics
Which economic school of thought believes that the government should change money supply to help stabilize the economy?
Monetarism
In 1946 congress passed a bill that allowed the government to keep the economy from going into a recession. What was the name of the act?
Employment Act of 1946
Increasing government spending will do what to inflation?
Increase inflation
Which government agency controls the money supply?
Federal Reserve
Who was the founder of Monetarism?
Milton Friedman
The Federal Reserve buying government securities will do what to the money supply?
Increase money supply
Which economic school of thought believes that the government shouldn't interfere with the economy?
Classical Economics
Do elected officials control decisions made by the Federal Reserve?
No
What does the government do when they are in an expansionary period?
Increase spending and decrease taxes
What changes would be used during Tight Money policy?
Sell government securities
Increase reserve requirements
Increase discount rate
Selling government securities will do what to inflation?
Decrease inflation
How much was Pete Carrol's buyout from the Las Vegas Raiders?
$13 million
Stimulating the economy by cutting taxes on businesses to allow them to expand production is called what?
Supply-side economics
Unemployment and welfare benefits don't need law makers to adjust the amount of money in the economy. What are they called?
Automatic stabilizers
Increase inflation
Economic decisions made by the Federal Reserve is called what?
Monetary Policy
Who was the founder of Keynesian Economics
John Maynard Keynes
Economic decisions made by elected officials is called what?
Fiscal Policies
Supply-side economics