Answer to Question #146659 in Macroeconomics for Prince Chauke

Question

Q.1.1 An increase in the budget deficit is the result of:
(a) Expansionary monetary policy;
(b) Contractionary monetary policy;
(c) Expansionary fiscal policy;
(d) Contractionary fiscal policy.

Q.1.2 Company tax is a:

(a) Progressive, direct tax;
(b) Progressive, indirect tax;
(c) Proportional direct tax;
(d) Regressive indirect tax.

Answer 1

Q1.1. Expansionary fiscal policy

Q1.2 Progressive, direct tax;