Which of the Following Statements About Japan's Debt Is INCORRECT

question 30

Multiple Choice

Which of the following statements about Japan's debt is INCORRECT?

• A) Japan has sought to decrease its debt only by cutting spending, rather than raising revenue.
• B) Japan has the highest debt-to-GNP ration among OECD countries.
• C) Servicing the national debt consumed about a quarter of Japan's 2013 budget.
• D) One reason for Japan's large debt is that it has paid for increased social welfare costs by issuing government bonds.
• E) Japan's outstanding debt per citizen is just slightly higher than that of the United States.

---

Definitions:

Cost Of Labor

The total amount paid to employees for their work, including wages, benefits, and any other compensation.

Isocost Line

A graph line representing all combinations of inputs that have the same total cost for a firm.

Total Cost

The sum of all costs incurred by a firm in the production of goods or services, including both fixed and variable costs.

Isocost Line

A diagram representing every possible mix of inputs that can be acquired for a specific total expenditure.