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D Question 34 The main objective of the federal government's macroecon O A low and stable rate of inflation O A high rate of employment A stable rate of economic growth O All of the above Question 35 Which of the following is not a function of the Fed? O setting the reserve requirement for banks O advising Congress on fiscal policy O regulating the supply of money Serving as lender of the last resourt D Question 36 Which of the following events will NOT have the effect of increasing the supply of auto tires? O Technological advancement in of producing tire O The expectation that price of tires will decrease in the future O A 50 cent subsidy on each tire produced O An increase in the number of firms producing tires Question 37 Suppose in the economy of Richlandia the GDP in 2021 was $ 150 billion. Also, assume that gross invest on expenditure was $ 80 bilion and net exports was -20 billion. What was the value of government spending in Richlandia in 2021? 0$0 ( $ 10 billion $ 50 billion $ 30 billion D Question 38 The unemployment rate that would result from the com -assuming the economy was neither booming nor in recession is called ; O Cyclical unemployment Natural rate of unemployment O Structural unemployment O Frictional unemployment Question 39 Which of the following statements is FALSE? O An expansionary fiscal policy might cor O An investment tax credit is an sionary fiscal policy O An expansionary fiscal policy seeks to shift aggregate demand to the right Discretionary fiscal policy is always expansionary D Question 40 Which of the following questions are macroeconomic questions? What factors determine the price of milk ? What determines the wage of auto workers O What determines the inflation rate? None of the above are macroeconomic questions