When a Budget Deficit Occurs in the United States,the U

question 71

Multiple Choice

When a budget deficit occurs in the United States,the U.S. Treasury finances this deficit by

• A)borrowing.
• B)imposing a moratorium of new government spending.
• C)increasing the tax rate.
• D)printing more dollars.

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Definitions:

Dominant Strategy

In game theory, a strategy that is best for a player regardless of the strategies chosen by the other players.

Payoff

The return or profit from an investment or action.

Alternative Option

A different choice or course of action that is available to individuals or organizations.

Zero-Sum Game

In game theory, a scenario where the gain or loss of one player is precisely offset by the losses or gains of the other players.