Between 1960 and 2010, the Share of Federal Spending Allocated

question 495

Multiple Choice

Between 1960 and 2010, the share of federal spending allocated to national defense

• A) declined sharply, while the share allocated to health care increased substantially.
• B) rose sharply, while the share allocated to health care declined substantially.
• C) was relatively constant, while the share allocated to health care declined modestly.
• D) declined modestly, while the share allocated to health care was relatively constant.

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Definitions:

Bank Failures

Occurrences when a bank is unable to meet its obligations to depositors or creditors and ceases operations, often resulting in regulators seizing the institution.

Great Depression

A severe worldwide economic downturn that took place during the 1930s, marked by massive unemployment and widespread poverty.

Lost Confidence

A situation where consumers or investors become pessimistic about the economic prospects, leading to reduced spending and investment.

Prime Interest Rate

The interest rate that commercial banks charge their most credit-worthy customers, often used as a benchmark for various interest rates.