Jack has an MPC of 0.82 and Jill has an MPC of 0.78. Ceteris paribus, if the government transfers income from people who behave like Jack to people who behave like Jill,

The general formula for computing the desired stimulus is

Which of the following is an explanation for why the AD curve slopes downward?

If the economy has an inflationary GDP gap, one possible solution is to increase taxes.

When the APC is greater than 1, the APS must be

The use of government taxes and spending to alter macroeconomic outcomes is known as

According to classical economists, market-driven economies

The desired fiscal restraint is equal to

A positively sloped aggregate supply curve reflects

Stagflation is the result of