A recessionary gap causes national debt to increase because
a. the growth in GDP slows.
b. interest on previously incurred debt must be paid.
c. recessionary periods require huge buildups of defense materials.
d. income tax receipts drop off markedly.
d
You might also like to view...
Which of the following statements is true of a monopolist's supply curve?
A) The supply curve is vertical. B) The supply curve is upward sloping. C) The supply curve is downward sloping. D) A monopolist does not have a supply curve.
Fresno County, California is the largest agricultural producing county in the country and almonds are an important crop with more than 99,000 acres harvested. Each acre produces about a ton of almonds and sold at a price of $4300 a ton
The Sagardia Brothers grew 600 acres of almonds. What would happen if the Sagardia Brothers priced their almonds at $4500 a ton? A) Profits will be higher than when they sell them at the lower price. B) The quantity sold will be higher. C) They will not sell any almonds. D) They will sell fewer almonds, but profits will be higher.
Rates of inflation in the hundreds or thousands of percent per year are known as
A) super inflation. B) megainflation. C) hyperinflation. D) overinflation.
In early 1996, Congress proposed an agriculture bill that would gradually reduce price supports for many agricultural products. If the bill were to be approved, what would most likely happen to the number of families employed in agriculture?
a. It would decrease, because agricultural prices would fall. b. It would decrease, because agricultural prices would rise. c. It would increase, because agricultural prices would fall. d. It would increase, because agricultural prices would rise.