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Practice Questions
Test your understanding with targeted questions related to the topic.
Question 1
Easy
Define fiscal policy.
💡 Hint: Think about how a government manages money.
Question 2
Easy
What does expansionary fiscal policy aim to achieve?
💡 Hint: Remember the goal is to boost the economy.
Practice 4 more questions and get performance evaluation
Interactive Quizzes
Engage in quick quizzes to reinforce what you've learned and check your comprehension.
Question 1
What is the main goal of expansionary fiscal policy?
- To reduce inflation
- To stimulate economic growth
- To control unemployment
💡 Hint: Focus on the main objective of 'expanding' the economy.
Question 2
True or False: Contractionary fiscal policy increases government spending.
- True
- False
💡 Hint: Think about what 'contraction' implies.
Solve 1 more question and get performance evaluation
Challenge Problems
Push your limits with challenges.
Question 1
Create a scenario in which a government balances between expansionary and contractionary fiscal policies during an economic cycle. Describe potential actions the government should take and their impacts.
💡 Hint: Consider the trade-off between stimulating growth and controlling inflation.
Question 2
Evaluate the advantages and disadvantages of expansionary fiscal policy over a prolonged period. Discuss potential impacts on debt and inflation.
💡 Hint: Reflect on what might happen when the government keeps engaging in expansionary activities.
Challenge and get performance evaluation