Which of the Following Restrictions Implies That Investment Exceeds Private

question 48

Multiple Choice

Which of the following restrictions implies that investment exceeds private saving for a closed economy?

• A)The economy has no government.
• B)The economy's government is running a budget deficit.
• C)The economy's government is running a budget surplus.
• D)No restriction is necessary;investment and private saving are equal for all closed economies.

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Definitions:

Law Clerk

An individual, usually an attorney or law school graduate, who assists a judge with researching legal opinions and drafting legal documents.

Sole Proprietorship

A business owned and operated by a single individual, with no legal distinction between the owner and the business entity.

Partnership

A lawful business structure that involves two or more people co-managing and sharing the earnings.

Professional Corporations

A type of corporate structure specifically designed for licensed professionals, such as doctors, lawyers, and accountants, providing certain tax and legal benefits.