When the Government Is Running a Budget Surplus

question 113

Multiple Choice

When the government is running a budget surplus,

• A) the demand for loanable funds includes only business investment spending
• B) the supply of loanable funds includes only business investment spending
• C) the loanable funds market cannot be in equilibrium
• D) the supply of loanable funds includes only household saving
• E) there will be an excess supply of loanable funds

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Definitions:

Labor Market

A marketplace where employers find workers and workers find jobs; it involves the supply and demand for labor.

Autocratic Workplace

An environment where decision-making is concentrated in the hands of a single leader or a small group, often resulting in minimal input from employees.

Union Acceptance

The acknowledgment and approval by an employer or society of the role and rights of unions to represent their members.

Human Resource Management

The strategic approach to the effective and efficient management of people in an organization to help it gain a competitive advantage.