Which of the Following Best Explains the Political Attractiveness of Debt

question 39

Multiple Choice

Which of the following best explains the political attractiveness of debt financing relative to taxation?

• A) Debt financing pushes the visible cost of government into the future.
• B) Debt financing exposes the current costs of government programs; taxes do not.
• C) Debt financing reduces the attractiveness of special-interest spending.
• D) Taxes allow politicians to supply voters with immediate benefits without having to impose a visible cost.

---

Definitions:

Sigmund Freud

An Austrian neurologist known for founding psychoanalysis, a clinical method for treating psychopathology through dialogue between a patient and a psychoanalyst.

Hypnotism

The practice of inducing a trance-like state in which a person is more susceptible to suggestion.

Psychoanalytic Treatment

A therapeutic process rooted in Freudian theory that seeks to explore and understand unconscious thoughts and behaviors through techniques like dream analysis and free association.

Profound Behavioral Changes

Significant alterations in an individual's actions, attitudes, or emotions, which can be due to various factors, including health conditions, environment, or psychological issues.