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Practice Questions
Test your understanding with targeted questions related to the topic.
Question 1
Easy
What is government expenditure?
💡 Hint: Think about what the government pays for each year.
Question 2
Easy
Name one component of aggregate demand.
💡 Hint: It begins with a 'G'.
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 does government expenditure mainly consist of?
- A) Transfers
- B) Public goods and services
- C) Tax collection
💡 Hint: Think about what the government provides to citizens.
Question 2
True or false: An increase in government expenditure can lead to job creation.
- True
- False
💡 Hint: Remember the impact of government projects on employment.
Solve 1 more question and get performance evaluation
Challenge Problems
Push your limits with challenges.
Question 1
Critically analyze how different levels of government expenditure affect economic growth. Provide examples for both high and low expenditure scenarios.
💡 Hint: Consider real-world economic policies during recessions.
Question 2
Given an economy at equilibrium with low government spending, propose a set of fiscal policies that the government could implement to boost aggregate demand. Explain how these policies would affect employment and GDP.
💡 Hint: Think about the relationship between government actions and consumer behavior.
Challenge and get performance evaluation