Direct investment in the stock market by the Social Security trust fund
A) does not require that new money be brought into the system.
B) would be more cost-effective than creating private accounts for each person in the Social Security system.
C) would cause the government indirectly to own substantial parts of American companies.
D) All of the above.
D
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Use the following graph to answer the next question.
In the figure, AD2 and AS2 represent the original aggregate supply and demand curves. If Q3 is full-employment output, then AD1 and AS2 represent a(n) ________.
A. full-employment B. expansion C. price stability D. recession
Under autarky, domestic producer surplus is represented by the area
A) above the supply curve and below the equilibrium price. B) above the demand curve and below the supply curve. C) above the supply curve and below the demand curve. D) below the demand curve and above the equilibrium price.
Contractionary monetary policy causes a ________ the MP curve and a ________ the aggregate demand curve
A) movement to the right along; shift to the right of B) downward shift of; shift to the right of C) movement to the left along; movement up along D) upward shift of; shift to the left of
Regulatory capture exists when
A. regulated firms form special interests and influence politicians who appoint regulators through campaign donations. B. regulated firms pay for favorable public media campaigns. C. the federal government successfully deregulates an industry. D. two or more firms merge to gain a majority market share.