Suppose the federal government had budget surpluses of $80 billion in year 1 and $120 billion in year 2 but had budget deficits of $10 billion in year 3 and $40 billion in year 4. Also assume that it used its budget surpluses to pay down the public debt
At the end of these four years, the federal government's public debt would have:
A. increased by $50 billion.
B. increased by $150 billion.
C. decreased by $200 billion.
D. decreased by $150 billion.
D. decreased by $150 billion.
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Which one of the following would lead to an eventual change in the total money supply?
A) a customer's cash withdrawal from an ATM B) using a credit card to purchase a new television C) a customer moves funds from her checking account to her savings account D) depositing a paycheck in a bank
The Coase Theorem is the proposition that private transactions are efficient if property rights exist, if only a ________ number of parties are involved, and if transactions costs are ________
A) large; low B) large; high C) small; low D) small; high
Refer to Figure 4-5. Suppose that instead of a price ceiling, the government imposed a price floor of R1. What is the quantity of apartments demanded at the new price?
A) 0 B) Q0 C) Q1 D) Q*
If orange juice and apple juice are substitutes, an increase in the price of orange juice will shift the demand curve for apple juice to the left
a. True b. False Indicate whether the statement is true or false