Which Statement(s) Is/are TRUE? I

question 95

Multiple Choice

Which statement(s) is/are TRUE? I. People on fixed incomes will not be hurt if the United States monetizes its debt.
II) If the cost of Medicare changes as health care costs increase, it would enhance the government's ability to keep deficits and the national debt under control over the long term.
III) If the United States monetizes its debt, it will result in a weaker dollar if foreigners hold fewer U.S. dollars.

• A) I only
• B) II only
• C) III only
• D) I, II, and III only

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Definitions:

Equilibrium

The state in which market supply and demand balance each other, resulting in stable prices.

Coconuts

Tropical fruits with a hard shell, edible flesh, and a clear liquid inside, often used in food and beverages.

Equilibrium Price

The price at which the quantity of a good or service demanded equals the quantity supplied, achieving market balance.

Inverse Demand Function

A mathematical representation showing how price adjusts based on the quantity demanded by consumers.