All of the following about the U.S. deficit is true EXCEPT
a. Running a deficit—bringing in less than is spent—can be beneficial in the short run as it allows the government to borrow money to help stimulate the economy.
b. Unlike the national government, most state governments do not have the ability to continually run a large annual deficit.
c. The size of the national debt could slow national economic growth because it diverts money that could be spend on private sector activities.
d. In 2014, the national government will spend about $230 billion in interest on a national debt that is about $17.5 trillion.
e. The term national debt refers to the gap between income and expenditures run by the federal government.
e
You might also like to view...
Most high-level appointments in the executive branch require the _________ by the Senate before the person can assume the position
a. advice and consent c. recommendation b. nomination d. election
Most people who watch news on television say that newscasts devote too much time to ________
a. entertainment b. “infotainment” c. politics d. pollsters
When the activities of one group or individual impose costs on others for which there is no compensation, this is an externality
Indicate whether the statement is true or false.
How can the development of interest groups in our political system be traced back to the early history of the Republic and the Framers of the Constitution?
Answer: