CS 20+21: EOC Bootcamp

Hotspot

The federal government uses different fiscal policies to alter the rate of economic growth and promote economic stability.

Click on the options in each category that would help stimulate economic growth. You will select one option in each category, A, B, and C.

Categorize

Options (4)

the government decides to begin a massive effort to rebuild the nation's highways

the government has extended unemployment benefits for qualified workers for additional 6 week

the government increases deductions for households with students attending college

the government has increased revenues by charging extra fees for consumption of gasoline

The federal government has a number of tools that can be used to maintain economic stability or foster economic growth. These tools often involve changes in taxing or government spending.

Identify whether each policy listed is related to taxes or spending.

Spending Policy

Tax Policy

Multiple Select

The federal government uses fiscal policies to maintain economic stability, including making changes to taxes and government spending. The government can try to stimulate economic growth by doing which two things?

• increasing government spending

• decreasing government spending

• increasing taxes

• decreasing taxes

Hotspot

The federal government uses different fiscal policies to alter the rate of economic growth and promote economic stability.

Click on the options in each category that would help slow economic growth and fight inflation. You will select one option in each category, A, B, and C.

Multiple Choice

When the U.S. economy performs poorly, many people look to the government to take action. If the government cuts taxes, which would probably occur?

• bank failures would increase

• the stock market would collapse

• people would have more money to spend

• the government would balance the budget

Multiple Choice

What is one of the Federal Reserve's primary functions in the United States economy?

• collecting federal income taxes

• applying import and export tariffs

• maintaining stock market stability

• regulating the nation's money supply

Multiple Choice

The Federal Reserve purchases and sells government securities, adjusts the reserve requirement, and adjusts the discount rate to produce certain economic outcomes.

What is one outcome the Federal Reserve might want to produce when purchasing government securities?

• increasing interest rates

• reducing the money supply

• fostering economic expansion

• fostering economic contraction

Labelling

Complete the flow chart showing the functions of the Federal Reserve Bank.

A. Move one outcome sought to foster economic growth into the blank box for that column. Then move one outcome sought to foster economic contraction into the blank box for that column.

B. Move one of the tools used to foster economic growth into the blank box for that column. Then move one of the tools used to foster economic contraction into the blank box for that column.

Drag labels to their correct position on the image

encourage spending

lower interest rates

raise interest rates

encourage savings

buy government securities

sell government securities