In the Long Run

question 113

Multiple Choice

In the long run,

• A) a larger budget deficit means a larger money supply
• B) lower investment spending means slower growth of the standard of living
• C) a larger budget deficit means lower consumption spending
• D) a larger budget surplus means a smaller capital stock
• E) government spending has no effect on the budget deficit or surplus.

---

Definitions:

Moral Reasoning

The process of determining what is right and wrong in a given situation, often influenced by cultural, personal, and societal norms.

Conceptually Problematic

Refers to ideas or theories that are difficult to understand, define, or apply due to vague or abstract premises.

Arnett

Refers to Jeffrey Jensen Arnett, a psychologist known for his work on emerging adulthood and development.

Feel Grown Up

The subjective experience of perceiving oneself as more mature or adult-like, often accompanied by increased responsibilities and changes in self-perception.