The Impact of Budget Outcomes (HSC SSCE Economics): Quizzes
📚Quizzes
Practise the questions
10 questions from this quiz
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Practise the questions
10 questions from this quiz
What does the budget outcome indicate about fiscal policy?
What does the budget outcome indicate about fiscal policy?
Overall impact on the state of the economy
A budget surplus occurs when planned government revenue compared to expenditure is:
A budget surplus occurs when planned government revenue compared to expenditure is:
Greater than planned expenditure
What does an expansionary fiscal stance create compared to the previous year?
What does an expansionary fiscal stance create compared to the previous year?
Smaller surplus or larger deficit
What is the positive effect of contractionary fiscal policy?
What is the positive effect of contractionary fiscal policy?
Controls inflation
Budget falls from 30 billion deficit to 20 billion deficit. What is the fiscal stance?
Budget falls from 30 billion deficit to 20 billion deficit. What is the fiscal stance?
Contractionary
What is the key characteristic of automatic stabilisers?
What is the key characteristic of automatic stabilisers?
Operate automatically without intervention
What are the two main automatic stabilisers in the Australian economy?
What are the two main automatic stabilisers in the Australian economy?
Progressive income tax & unemployment benefit
During economic growth, automatic stabilisers move the budget outcome toward:
During economic growth, automatic stabilisers move the budget outcome toward:
Smaller deficit or larger surplus
What happens to unemployment benefits during a recession due to automatic stabilisers?
What happens to unemployment benefits during a recession due to automatic stabilisers?
They automatically rise
Which component is the key driver of the government's fiscal policy stance?
Which component is the key driver of the government's fiscal policy stance?
Structural component