What are purposes-tools and limitations of fiscal policy

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1. Why is the court reluctant to extend in personam jurisdiction whenever a firm with online presence offers to make a sale of products in the state in question? Why is there a reluctance to extend in personam jurisdiction broadly?

2. What is aggregate demand (AD) and why is its downward slope the result of the real-balances effect, the interest-rate effect, and the foreign purchases effect? What is aggregate supply (AS) and why does it differ in the immediate short-run, the short-run, and the long-run?

3. What are the purposes, tools, and limitations of fiscal policy? How does the cyclically adjusted budget reveal the status of U.S. fiscal policy?

Reference no: EM132208737

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