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Fiscal/Monetary Policy and Economic Health

Quiz by Rachel Murat

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13 questions
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  • Q1
    Government policy that attempts to manage the economy by controlling taxing and spending.
    Fiscal Policy
    30s
  • Q2
    Government policy that attempts to manage the economy by controlling the money supply and thus interest rates.
    Monetary Policy
    30s
  • Q3
    fiscal or monetary; attempt to slow the economy down
    Contractionary Policy
    30s
  • Q4
    fiscal or monetary; attempt to speed up the economy
    Expansionary Policy
    30s
  • Q5
    raise in interest rates, lower the money supply, raise the discount rate, raise the reserve requirement
    Contractionary Monetary Policy
    30s
  • Q6
    Decreased government spending, higher taxes, more regulations, decreased transfer payments
    Contractionary Fiscal Policy
    30s
  • Q7
    lower the interest rates, raise the money supply, lower the discount rate, lower the reserve requirement
    Expansionary Monetary Policy
    30s
  • Q8
    Increased government spending, lower taxes, fewer regulations, increased transfer payments
    Expansionary Fiscal Policy
    30s
  • Q9
    spending category about which government planners can make choices
    Discretionary spending
    30s
  • Q10
    Required govt spending by permanent laws
    Mandatory spending
    30s
  • Q11
    A tax for which the percentage of income paid in taxes increases as income increases
    progressive tax
    30s
  • Q12
    A tax for which the percentage of income paid in taxes decreases as income increases
    regressive tax
    30s
  • Q13
    A tax in which the average tax rate is the same at all income levels.
    proportional tax
    30s

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