Although It Declined in the First Quarter of 2009, the United

question 150

Multiple Choice

Although it declined in the first quarter of 2009, the United States was still running a trade deficit., which means that the United States would have to

• A) devalue the dollar.
• B) increase the money supply.
• C) decrease the value of its financial account.
• D) sell some of its assets to foreigners.

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Definitions:

Large-Scale Farmers

Farmers who operate extensive areas of land and generally engage in high-volume production of crops or livestock.

Farm Subsidies

Governmental aid programs aimed at supporting farmers and agricultural enterprises by enhancing their earnings, regulating the production of farm goods, and affecting the price and availability of these commodities.

Budget Deficit

The amount by which expenditures exceed revenues in any year.

Free World Trade

The unhindered exchange of goods and services across international borders, encouraging global economic integration and efficiency.