When Congress agreed to raise the debt ceiling during the economic meltdown in the United States in 2011, it temporarily averted a shutdown crisis, but the deal they reached to do so created the _____.
A) risk-return relationship
B) fiscal cliff
C) bottom-up budgeting
D) niche barrier
Ans: B) fiscal cliff
You might also like to view...
High skilled labor and information technology are ________ while low skilled labor and information technology are ________
A) complements; substitutes B) substitutes; substitutes C) substitutes; complements D) complements; complements
The difference between a capital good and a consumer good depends on
a. the purpose for which it is used. b. how it was produced. c. when it was produced. d. how quickly it is used up.
Explain why the distinction between debt and equity finance is useful in analyzing the response of developing countries to unforeseen events such as recession or terms of trade change?
What will be an ideal response?
Suppose that when price is $10, quantity supplied is 20 . When price is $6, quantity supplied is 12 units. The price elasticity of supply is:
a. 0.5. b. 0.8. c. 1.0. d. 1.5. e. 2.0.