How does a government budget deficit occur?
A. If a nation carries a public debt, it must be running a deficit every year.
B. A government's tax revenues exceed its spending.
C. A nation earns more on exports than it spends on imports.
D. A government's spending exceeds its tax revenues.
Answer: D
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The table below shows four alternative techniques for assembling a car. Which of the four techniques for assembling a car cannot be economically efficient with any input prices?
A) T-1 B) T-2 C) T-3 D) T-4
Which of the following is associated with peaks in the business cycle?
a. High unemployment b. Recessions c. Low unemployment d. Depression
A person goes into a store and buys a computer for $1,210. In this case, price is acting as a
A) resource. B) good. C) rationing device. D) capital instrument. E) factor of production.
The ECB has favored using ______ as a target for implementing monetary policy.
A) money supply B) inflation targets C) unemployment figures D) fiscal deficits