answer the ff.

II. Multiple Choice.Write the letter of the correct

answer.

1. The government receives taxes from firms and households in the __________market

a)labor b)money c) goods and services

2. In the labor market, _____________supply labor.

a)firms b) government c) households

3. _________government policies concern taxes

and spending

a)monetary policy b) exchange rate policy

c) Fiscal policy

4. John is not considered unemployed if he is

a.is temporarily laid offb.Is not working but seeking actively for a job

c. not looking for a job

5. If the government wants to increase employment, government purchases should be

_____________and/or taxes should be ______

a.increased; increased b.decreased;decreased

c. increased; decreased