Which of the following is NOT a transfer payment?
A. Social Security retirement payments
B. Social Security disability payments
C. spending on national defense
D. Medicare
Answer: C
You might also like to view...
Supply shocks are a potential source of higher inflation, unless the government counters with ________ policy that ________ the money growth rate
A) extinguishing, reduces B) extinguishing, increases C) neutral, leaves unchanged D) accommodative, reduces E) accommodative, increases
Suppose the economy is initially operating at full employment. A reduction in the size of the budget deficit will cause which of the following in the short run?
A) a recessionary gap. B) an increase the price level and a reduction in real GDP. C) an increase in the price level with no change in real GDP. D) an increase in real GDP and an increase in the price level.
Which of the following is TRUE?
A) MPC - MPS = 1 B) MPC + MPS = 1 C) MPC * MPS = 1 D) MPC / MPS = 1
Suppose a bank has $8 million in deposits and a reserve ratio of 20 percent. Its required reserves are:
A. $40,000. B. $400,000. C. $1,600,000. D. $16,000,000.