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Quiz 2: Economics: The Framework for Business
An Economy Is One That Includes a Financial System and Excludes
Question 1
True False
An economy is one that includes a financial system and excludes a social system.
False
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Q 2
In the context of fiscal strategies, most economists agree that higher taxes can boost the economy by leaving more money with the government to spend during an economic crisis.
Q 3
If spending is lower than revenue, the government incurs a budget deficit and must borrow money to cover the shortfall.
Q 4
The discount rate is the interest rate the Fed charges on its loans to commercial banks.
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