B#11 Fiscal Policy

Benchmark 4-B:

analyze and evaluate how economic systems impact the way individuals, households, businesses, governments and societies make decisions about resources and the production and distribution of goods and services:

#11 Standards with Test Item Specifications:

Analyze the impact of fiscal policy on an economic system (e.g., deficit, surplus, inflation)

Sample Question

If the government sets a price ceiling in a market, this would most likely cause which of the following?

A. a shortage*

B. equilibrium

C. efficiency

D. a surplus