Which of the Following Statements Is False

question 75

Multiple Choice

Which of the following statements is false?

• A) The process of channeling savings into investment through the use of a financial institution or intermediary results in the creation of one type of financial asset and one type of financial liability.
• B) During the early years of the history of the United States, foreigners purchased significant volumes of federal government securities.
• C) The single most important use of funds raised in the credit markets is by the household sector.
• D) The U.S. government borrows more than state and local governments combined.

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Definitions:

Oranges

Citrus fruits cherished for their juiciness, vibrant color, and sweet-tart flavor, often used in culinary dishes and beverages.

Complements

Goods or services that are used together such that the demand for one increases when the price of the other decreases.

Demand

The quantity of a product or service that consumers are willing and able to purchase at various price levels, holding all else constant.

Inferior Goods

Goods for which demand tends to fall when income rises.