How Does a Change in Government Budget Affect National Saving

question 58

Multiple Choice

How does a change in government budget affect national saving?

• A) An increase in budget deficit increases national saving.
• B) An increase in budget surplus increases national saving.
• C) A decrease in budget surplus increases national saving.
• D) A decrease in budget deficit does not affect national saving.

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Definitions:

ATP

Adenosine triphosphate. Nucleotide that consists of an adenine base, a ribose sugar, and three phosphate groups. Functions as a subunit of RNA and as a coenzyme in many reactions. Important energy carrier.

Aerobic Respiration

A process in living organisms involving the production of energy, with oxygen as the final electron acceptor, and resulting in the production of carbon dioxide and water.

Electron Acceptor

A chemical entity that accepts electrons transferred to it from another compound, crucial in energy production and metabolic processes.

Aerobic Respiration

A metabolic process that uses oxygen to convert nutrients into energy, producing carbon dioxide and water as waste products.