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Free CFA Economics Practice Questions & Answers

2,050 exam-style Economics questions. Pick your answer, hit Check answer, and see the worked solution — free to start, no signup.

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Question 631
A second argument against worrying about debt is that borrowed money may:
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Question 632
A third argument against worrying about debt is that:
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Question 633
Ricardian equivalence suggests that deficits:
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Question 634
Another argument against worrying about debt is that if unemployment exists:
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Question 635
Fiscal policy can influence:
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Question 636
Expansionary fiscal policy increases aggregate demand by:
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Question 637
Contractionary fiscal policy reduces aggregate demand by:
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Question 638
Fiscal policy is especially powerful when:
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Question 639
Monetarists argue fiscal policy effects are temporary because:
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Question 640
A budget deficit automatically rises in recession because:
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Question 641
A budget surplus automatically rises in a boom because:
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Question 642
Automatic stabilizers are beneficial because:
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Question 643
Discretionary fiscal policy is limited by:
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Question 644
National debt concerns depend partly on:
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Question 645
A key argument for being concerned about high national debt is that it may:
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Question 646
Higher marginal tax rates due to high debt may:
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Question 647
If markets lose confidence in a government, the central bank may:
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Question 648
Printing money to finance deficits may lead to:
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Question 649
Government borrowing may crowd out private investment because:
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Question 650
Transfer payments include:
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Question 651
Transfer payments are excluded from GDP because:
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Question 652
Current government spending includes:
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Question 653
Capital expenditure includes:
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Question 654
Capital expenditure affects:
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Question 655
Government spending is justified economically to:
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Question 656
Government spending is justified socially to:
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Question 657
Government spending can influence economic objectives by:
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Question 658
Direct taxes include:
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Question 659
Indirect taxes include:
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Question 660
Taxes can be justified because they:
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