CHAPTER 3

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ROLE OF GOVERNMENT

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arianniii

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CHAPTER 3


CHAPTER 3Versión en línea ROLE OF GOVERNMENT por arianniii 1 Which of the following is NOT a role of government in macroeconomics? a Adjust the allocation of resources b Redistribution income and wealth c Promote healthy competition d Maximize porfits for private firms 2 Which budget occurs when government revenue equals government expenditure? a Deficit budget b Surplus budget c Balanced budget d Development 3 Non-tax revenue includes all of the following EXCEPT : a Sales of government assets b Fines and penalties c Interest on government invetsments d Personal income tax 4 Which of the following is a government operating expenditure? a Pension and gratuities b Infrastructure development c Highway construction d Defence modernization 5 Which tool is part of monetary policy? a Open Market Operations b Increasing government expenditure c Price control and rationing d Job creation in new sectors 6 Which of the following is a fiscal policy tool? a Government expenditure and taxation b Open Market Operations c Statutory reserve requirement d Discount rate 7 A deficit budget means : a Revenue > Expenditure b Revenue < Expenditure c Revenue = Expenditure d No tax collection 8 Which of the following is an external source of national debt? a Borrowing from citizens b Loans from the central bank c International financial institutions d Commercial banks inside Malaysia 9 Which of the following is a function of fiscal policy? a To influence money supply b To adjust interest rate c To change taxation and spending d To manage foreign exchange reserves 10 Which of the following is NOT a role of government in the economy? a Redistribute income and wealth b Provide a legal and social framework c Promote monopolies for private firms d Create a stable business environment

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CHAPTER 3

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CHAPTER 3Versión en línea

por arianniii

Which of the following is NOT a role of government in macroeconomics?

Which budget occurs when government revenue equals government expenditure?

Non-tax revenue includes all of the following EXCEPT :

Which of the following is a government operating expenditure?

Which tool is part of monetary policy?

Which of the following is a fiscal policy tool?

A deficit budget means :

Which of the following is an external source of national debt?

Which of the following is a function of fiscal policy?

Which of the following is NOT a role of government in the economy?