Which is an important consequence of the public debt of the United States?
A. It will threaten to bankrupt the federal government.
B. It leads to fewer incentives to bear risk and innovate.
C. It decreases the inequality in the distribution of income in the United States.
D. It transfers a portion of output from foreign nations to the United States.
Answer: B
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List five shortcomings of GDP which result in GDP not accurately measuring a country's well being
What will be an ideal response?
According to Allan Kulikoff, between 1630 and 1670, major surges in productivity caused tobacco output per worker to increase by a factor of:
a. two (doubling). b. three (tripling). c. four (400%). d. five (500%). e. Tobacco productivity held steady during these years.
If both market demand and supply decrease simultaneously, then equilibrium quantity will (be) ____ and equilibrium price will (be) ____
a. increase; increase b. indeterminate; decrease c. decrease; indeterminate d. decrease; decrease
A tax on polluting emissions will
a. provide incentives for firms to reduce the volume of polluting materials. b. raise revenue sufficient to eliminate the deficit. c. necessarily lower the price of the products. d. require no agency to administer the tax.