The federal government budget has generally been in a deficit for the past several decades because
A) budget deficits promote full employment.
B) every year during those decades was a recession year in which expansionary fiscal policy was called for.
C) military expenditures were increased steadily throughout those decades.
D) political pressure on Congress to increase taxes and to balance the budget were less effective than political pressure to increase expenditures.
D
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The figure above shows that as a result of the tariff, consumer surplus in the United States
A) decreases by $105 million per year. B) increases by $55 million per year. C) decreases by $30 million per year. D) decreases by $20 million per year. E) remains unchanged.
If the base year CPI basket costs $250 and next year the CPI basket costs $275, what is next year's CPI?
What will be an ideal response?
Holding all other things constant, a higher price for ski lift tickets would
a. increase the number of skiers.
b. increase the price of skis.
c. decrease the number of skis sold.
d. decrease the demand for other winter recreational activities.
In a country, the adult population equals 100,000. There are 50,000 people unemployed and 40,000 people are employed. The labor force participation rate equals
A. 90 percent. B. 50 percent. C. 40 percent. D. an undetermined amount given the lack of information.