If the government runs a deficit, then the government debt increases.
Answer the following statement true (T) or false (F)
True
You might also like to view...
Suppose a single-price monopoly sells 3 units of a good at $20 per unit. If the monopoly sells 4 units, the total revenue increases to $72. What price is being charged for 4 units?
A) $52 each B) $18 each C) $60 each D) $12 each E) $20 each
Refer to Figure 4-9. As a result of the tax, is there a loss in producer surplus?
A) Yes, because producers are not selling as many units now. B) No, because producers are able to raise the price to cover their tax burden. C) No, because the market reaches a new equilibrium D) No, because the consumer pays the tax.
The above figure shows the market for rice in Japan. S2 represents the domestic supply curve, and S1 represents the world supply curve. Suppose a free market exists. An import quota of 30 units would
A) cause consumer surplus to fall by "e." B) cause social welfare to fall by $30. C) increase producer surplus by "d." D) have no effect.
An action at which it is possible to change the activity level in only one direction is called:
A. an interior action. B. a boundary action. C. a limited action. D. a marginal action.