Which of the Following Is Correct

question 32

Multiple Choice

Which of the following is correct?

• A)Deficits always require people to consume at the expense of their children.
• B)If the government uses funds to pay for investment programs,on net the debt need not burden future generations.
• C)If the government is in debt it must be running a deficit currently.
• D)The current government debt is a large share of lifetime income.

Learn about the economizing problem of allocating limited resources to satisfy unlimited wants.

Appreciate the role of assumptions in economic modeling and the scientific method in economics.

Understand that personal and societal costs and benefits guide human decisions in predictable ways.

Understand the concept of rational decision-making in economics.

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Definitions:

Articles of Confederation

The first governing document of the United States, created before the Constitution, which provided a loose federation of the states with limited central government power.

Ratified

The process by which a proposed treaty or agreement is officially approved and adopted by the necessary parties or institutions.

States

Distinct territorial and political entities within a federal system, each with its own government and a degree of autonomy.

Government-less State

A hypothetical or theoretical situation where society operates without a formal government, often associated with anarchism or extreme libertarian views.