External debt rises from 5 percent of GDP to over 30 percent of GDP. This increase in external debt is:
A. a potential problem because government debt is no different from the debt of individuals.
B. not a potential problem because government debt differs from the debt of individuals.
C. a potential problem because repayment implies a net reduction in the income of an average citizen.
D. not a potential problem because repayment does not imply a net reduction in the income of an average citizen.
Answer: C
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A) State Lottery B) Poker C) Car Chases D) Auctions
Perfect competition is defined as market structure in which:
a. there are many small sellers. b. the product is homogeneous. c. it is very easy for firms to enter or exit the market. d. all of these.
The purpose of limited capital account convertibility is to:
A. limit trade in certain types of assets. B. eliminate trade in assets. C. limit trade in certain types of goods and services. D. eliminate trade in goods and services.
Which of the following is not an in-kind subsidy?
A. unemployment compensation B. low-cost rental housing C. Medicare D. Medicaid