Which of the Following Is a Valid Concern About Federal

question 30

Multiple Choice

Which of the following is a valid concern about federal budget deficits?

• A) The welfare of future generations will be directly related to the per-capita size of the national debt that they inherit.
• B) Growth of the national debt will eventually lead to the bankruptcy of the government.
• C) When the debt comes due, future generations may be unable to pay it off.
• D) If the increases in the national debt reduce private expenditures on capital formation, aggregate demand is reduced.

---

Definitions:

U.S. Military

The armed forces of the United States, responsible for defending the country against external threats and ensuring national security.

Mao Zedong

The founding father of the People's Republic of China, ruling from its establishment in 1949 until his death in 1976, known for his communist policies and the Cultural Revolution.

People's Republic of China

A sovereign state in East Asia, known as the world's most populous country, governed by the Communist Party of China.

Chinese Civil War

A conflict between the Communist Party of China and the Nationalist Party (Kuomintang) from 1927 to 1949, leading to the establishment of the People's Republic of China.