Other Things Equal, an Increase of Corporate Bonds from $140

question 252

Multiple Choice

$$\begin{array} { | l | c | } \hline \text { Security } & \text { Amount (in Billions) } \\\hline \text { Treasury Bills } & \$ 220 \\\hline \text { Corporate Bonds } & 140 \\\hline \text { Treasury Notes } & 80 \\\hline \text { Corporate Stock } & 200 \\\hline \text { US Savings Bonds } & 60 \\\hline \text { Treasury Bonds } & 100 \\\hline\end{array}$$ Other things equal, an increase of corporate bonds from $140 billion to $150 billion in the economy would

• A) not change the size of the public debt.
• B) increase the public debt from $460 billion to $470 billion.
• C) increase the public debt from $600 billion to $610 billion.
• D) decrease the public debt by $20 billion.

---

Definitions:

Aqueous Acid

A solution where an acid is dissolved in water to increase its ion concentration.

Bromination

A chemical reaction involving the addition of bromine to a compound, often used for adding bromine atoms to organic molecules.

Benzene Sulfonic Acid

A compound with a sulfonic acid group attached to a benzene ring, used in the production of detergents.

Dibromobenzene

Dibromobenzene refers to any of the compounds containing a benzene ring substituted with two bromine atoms, known in three isomeric forms.