If a budget surplus leads to a decrease in U.S. real interest rates, the lower rates will tend to cause
a. the dollar to appreciate.
b. the dollar to depreciate.
c. a decrease in private investment.
d. a decrease in net exports.
B
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According to public choice theory, policymakers
A) act in ways to bring about an equitable distribution of society's wealth. B) act in ways to maximize economic efficiency. C) place the interests of the public above their own self-interest. D) are likely to pursue their own self-interest, even if their self-interest conflicts with the public interest.
Of federal government spending, less than _____ percent goes to foreign aid and about _____ percent pays the interest on the federal debt.
Fill in the blank(s) with the appropriate word(s).
When the dollar declines in value against a foreign currency, it is called a(n):
a. appreciation. b. depreciation. c. inflation. d. deflation
Monopoly is unlike perfect competition in that ______.
a. a monopolist's price is greater than marginal cost b. there are no barriers to entry into a monopoly industry c. a monopolist earns an economic profit only if its price is greater than ATC d. all of the preceding are ways in which monopoly is unlike perfect competition e. a monopolist's price is greater than marginal cost and there are no barriers to entry into a monopoly industry, but not a monopolist earns an economic profit only if its price is greater than ATC, are ways in which monopoly is unlike perfect competition