When the government's outlays equal its tax revenue, the budget
A) has a deficit and the national debt is increasing.
B) has a deficit and the national debt is decreasing.
C) is balanced and the national debt is not changing.
D) has a surplus and the national debt is decreasing.
E) has a surplus and the national debt is increasing.
C
You might also like to view...
Which of the following statements is correct?
a. Public ownership is preferred to regulation in order to minimize the deadweight losses associated with natural monopolies. b. Antitrust laws are always the best way to limit monopoly power. c. It is possible that the best approach to monopolies is for the government to do nothing. d. Marginal-cost pricing requires a natural monopoly to earn zero economic profits.
Which of the following statements is true?
A. Many different production processes can be technically efficient, but only the method that involves the lowest possible cost is economically efficient. B. Many different production processes can be economically efficient, but only the method that involves the lowest possible cost is technically efficient. C. There are many production processes that are both technically and economically efficient, but only one of these involves the lowest possible cost. D. There is only one production process that is technically efficient, and this process is also economically efficient.
One tenet of classical economics is that
A. the government should set a minimum wage slightly above the natural market equilibrium rate. B. the government should intervene whenever necessary to avoid any unemployment. C. the role of the government should be limited, since the market will always be self-correcting. D. wages and prices are "sticky downward."
Refer to the information provided in Figure 2.5 below to answer the question(s) that follow.
Figure 2.5Refer to Figure 2.5. For this economy to move from Point B to Point C so that an additional 20 OLED televisions could be produced, production of LCD televisions would have to be reduced by
A. more than 30. B. exactly 60. C. fewer than 30. D. exactly 30.