A government budget surplus
A) decreases a country's ability to finance domestic and foreign investment.
B) increases a country's ability to finance domestic and foreign investment.
C) increases a country's ability to finance domestic investment and decreases its ability to finance foreign investment.
D) decreases a country's ability to finance domestic investment and increases its ability to finance foreign investment.
B
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If parties to a contract can anticipate the court's decision in the event of a dispute with some degree of certainty:
a. opportunistic behavior will never be detected. b. opportunistic behavior will be partially detected. c. there will be less room for opportunism. d. only one of the parties will be able to act opportunistically.
A flat or "fair" tax would increase the tax burden on the ___________ and _______________ and decrease the tax burden on the __________.
What will be an ideal response?
The long-run effect of a decrease in the growth rate of the quantity of money is a
A) higher real interest rate. B) lower nominal interest rate. C) higher inflation rate. D) higher nominal interest rate. E) lower real interest rate.
According to the quantity theory of money, in the long run an increase in the quantity of money creates an increase in the price level but does not increase real GDP
Indicate whether the statement is true or false