In Examining the National Income Accounts of the Closed Economy

question 29

Multiple Choice

In examining the national income accounts of the closed economy of Nepotocracy you see that this year it had taxes of $100 billion, transfers of $40 billion, and government purchases of goods and services of $80 billion. You also notice that last year it had private saving of $50 billion and investment of $70 billion. In which year did Nepotocracy have a budget deficit of $20 billion?

• A)this year and last year
• B)this year but not last year
• C)last year but not this year
• D)neither this year nor last year

---

Definitions:

Countercultures

Social groups that actively reject and oppose significant norms, values, or laws of the mainstream society, often creating their own lifestyle and cultural norms.

Subcultures

Cultural groups within a larger culture, often with distinct beliefs, interests, or practices that differentiate them from the larger society.

Mainstream Culture

The dominant set of norms, behaviors, and beliefs in a particular society, accepted or practiced by the majority of its members.

Hofstede's Dimensions

A framework for cross-cultural communication, developed by Geert Hofstede, that outlines five (originally four) dimensions of culture.