The government budget deficit or surplus is the difference between what a government ________ and what it ________ in a year.
A. earns from transfers; pays in transfers
B. pays for imports; spends on exports
C. spends; collects in taxes
D. spends on programs; gives away in foreign aid
Answer: C
You might also like to view...
The figure above shows the market for milk. When the efficient quantity of milk is produced, the marginal social cost of the last gallon is
A) $3.50. B) $3.00. C) $2.50. D) $2.00.
How does the federal government avoid the asymmetric information problem associated with providing health care to people over 65 years of age?
A) Health care is standardized and is the same for all people over 65 years of age. B) Health insurers rely on the reputation of the covered individuals. C) Participation in the Medicare program is mandatory for all people over 65 years of age. D) Health information about people enrolled in the Medicare program is publically available.
The portion of consumer surplus that no one in society is able to obtain in a situation of monopoly is known as
A) a market failure. B) a deadweight loss. C) an unrealized loss. D) a market externality.
A corrective tax
a. causes each factory to reduce pollution by the same amount. b. assigns a legal pollution limit for firms. c. places a price on the right to pollute. d. costs society more than pollution regulations.