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Econ Unit 5

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Question
Answer
show The unemployment rate will rise  
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show The Federal Reserve increases the discount rate, which causes interest rates to rise and people to save rather than to spend.  
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show monetary policy  
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show Increased deficit spending and decreasing or shrinking national debt  
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show Money supply decreases/ Interest rates increase  
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Fearing a recession, the government decides to give citizens a tax rebate check to buy Christmas gifts. What is a possible outcome of this action?   show
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show Higher rates could drive business to other countries  
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Which pairs of operations BEST fit with fiscal policy?   show
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show raise taxes  
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show shrink the deficit  
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show consumer spending decreases  
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What consumer behavior is the Federal Reserve Board trying to encourage when it implements a loose monetary policy?   show
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show The Federal Reserve  
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show It will raise interest rates and make your truck payment higher  
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If the federal government wants to encourage businesses and consumers to spend more money, it would MOST LIKELY   show
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show "Sin taxes" disproportionately affect lower income groups  
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show fiscal policy  
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show inflation  
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show sell bonds  
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show regulate the money supply  
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