<u>Answer:</u>
By “long-term challenges to our fiscal health”, President George W Bush means the things that will slow government spending.
<u>Explanation:</u>
- In his 2006 budget message, President George W Bush speaks about restraining the government expenditure in order to meet the near term and the long term fiscal challenges facing the country.
- In order to reduce the fiscal deficit, President Bush had planned to implement his plan of cutting down the expenditure on numerous policies and schemes run by the government.
If an economy is experiencing inflation, aggregate demand is above full-employment and the government will increase spending and decrease taxes.
Answer: Option B
<u>Explanation:</u>
The inflationary gap occurs when total demand is greater than the level of the outcome at full employment. Therefore, inflationary gap is the estimation of the excess amount of total demand over total supply at full employment. The hike in the amount of discretionary income for both consumers and business results from the government’s expansionary fiscal policy.
When government or pivotal authority slit taxes the investment for capital improvement, new hiring or employee’s payment reimbursement is processed by businesses and consumers may spend more for buying goods. The government can also encourage economy by investing in infrastructure projects. Such actions can result in a price hike due to the high demand for goods and services.
In 1497 the English king sent John Cabot to look for a passage way. cabot sailed canada but he only found rich fishing area
The goal is resource sharing