Government and the economy test review

Gasoline sales taxes tend to be what kind of tax?

The Income, property, good, or service that is subject to a tax is the

Fiscal policy that tries to decrease aggregate demand is

Which of the following would likely lead to a deficit?

If unemployment reaches 13%, the government should (there are two correct choices here!)

The largest category of federal spending is

Which is an example of mandatory spending?

Items that you can subtract from your taxable income (EX: property taxes or work expenses) on your tax return are called

Supply side economists argue that _______ is the best way to grow the economy

If aggregate demand increases,

Which branch of government creates the federal budget?

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The taxes withheld for Social Security and Medicare are called