Exploring Monetary and Fiscal Policy Dynamics

Exploring Monetary and Fiscal Policy Dynamics

Assessment

Interactive Video

Social Studies

6th - 10th Grade

Practice Problem

Medium

Created by

Ethan Morris

Used 1+ times

FREE Resource

10 questions

Show all answers

1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the primary goal of both monetary and fiscal policy?

To manage natural resources

To influence aggregate demand

To regulate international trade

To control population growth

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Who is responsible for implementing monetary policy in the United States?

The Treasury Department

The Federal Reserve

The President

The Congress

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What does the Federal Reserve do to implement monetary policy?

Adjusts tax rates

Prints and manages the supply of money

Modifies employment laws

Changes government spending

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the effect of monetary policy on the supply of money?

It decreases the supply of money

It increases the supply of money

It has no effect on the supply of money

It only affects the demand for money

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How does increasing the money supply affect interest rates?

Has no effect on interest rates

Decreases interest rates

Only affects foreign interest rates

Increases interest rates

6.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How does the government finance its spending?

By printing more money

Through donations

By selling government assets

Through tax revenue and borrowing

7.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What happens when the government increases its spending?

Aggregate demand decreases

The money supply decreases

Aggregate demand increases

Interest rates rise

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