Which of the Following Would Increase GDP by the Greatest

question 100

Multiple Choice

Which of the following would increase GDP by the greatest amount?

• A)a $20 billion reduction in taxes
• B)$20 billion increases in both government spending and taxes
• C)$20 billion decreases in both government spending and taxes
• D)a $20 billion increase in government spending

Know how to calculate and interpret return on equity.

Understand the significance of various debt ratios and their implications for a firm's financial health.

Comprehend the concept and calculation of total asset turnover and its importance for assessing a company's efficiency in using assets to generate sales.

Learn how to compute and analyze asset utilization ratios such as inventory and receivables turnover.

---

Definitions:

Market Risk

The risk of losses in investments due to factors that affect the overall performance of the financial markets.

Coefficient of Variation

A statistical measure of the dispersion of data points in a data series around the mean, indicating the level of volatility.

Probability Distribution

A statistical analysis function that maps out all prospective values and their probabilities for a random variable within an established scope.

Standard Deviation

A statistical measure of the dispersion or variability of a set of data points, commonly used in finance to assess the volatility of an investment's returns.