Which of the following checks issued by the government represents a transfer payment?
A) The federal government pays a defense contractor for development of a missile system.
B) The federal government pays a retiree her Social Security benefits.
C) The state of Oregon pays a construction firm for its work in repairing a state highway.
D) The state of Illinois pays groundskeepers at the state capitol building their weekly wages.
Answer: B
You might also like to view...
"If the inflation rate is positive, then the real interest rate is greater than the nominal interest rate." Is the previous statement correct or incorrect? Explain your answer
What will be an ideal response?
Refer to Table 2-5. Does either Estonia or Finland have an absolute advantage and if so, in what product?
A) Estonia has an absolute advantage in lumber. B) Finland has an absolute advantage in both products. C) Finland has an absolute advantage in lumber. D) Estonia has an absolute advantage in cell phones.
Interest deductibility does not provide an incentive for debt finance.
A. True B. False C. Uncertain
An economic system characterized by private ownership of the factors of production and economic activity coordinated through a system of markets and prices is called:
a. capitalism. b. socialism. c. communism. d. none of these.