Use the Figure Below to Answer the Following Questions

question 17

Multiple Choice

use the figure below to answer the following questions : the accompanying figure

-The inefficient point(s) is/are

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Definitions:

Social Security Tax Surplus

The excess of revenues collected for Social Security over the expenditures on the program.

Crowding-out Effect

A situation where increased government spending leads to a reduction in private sector investment, due to the government borrowing absorbing a larger share of available financial resources.

Expansionary Fiscal Policy

involves government spending and tax cuts to stimulate the economy during a recession.

Net Investment Spending

Represents the total amount spent on new capital assets minus the depreciation of existing assets, indicating how much a company is investing in its future growth.