Which of the following is not true with regard to the burden of the U.S. national debt?
a. The debt does burden future generations to the extent that it is sold to foreigners.
b. Budget deficits are not appropriate for stabilization purposes under any circumstances.
c. The debt will reduce the nation's capital stock if incurred during a fully employed economy.
d. The large deficits of the 1980s and early 2000 were particularly worrisome because they were not attributable to recessions.
d
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Explain how the labor force participation rate and the unemployment rate change in a recession
What will be an ideal response?
The difference between a country's ________ exports and its ________ imports is the balance of trade.
A. service; service B. total; service C. merchandise; merchandise D. total; total
How is a potentially efficient change different from a Pareto optimal change?
What will be an ideal response?
If there were a decreased fraction of divorced couples and an increase in the proportion of two-income families: a. both would tend to increase measured income inequality
b. both would tend to decrease measured income inequality. c. the decreased fraction of divorced couples would tend to increase measured income inequality, but the increase in the proportion of two-income families would tend to decrease measured income inequality. d. the decreased fraction of divorced couples would tend to decrease measured income inequality, but the increase in the proportion of two-income families would tend to increase measured income inequality.