Which of the Following Is Not an Explanation of Why

question 108

Multiple Choice

Which of the following is not an explanation of why the Gramm-Rudman-Hollings Act proved inadequate in reducing the deficit?

• A)The Supreme Court declared the automatic mechanism for budget cuts unconstitutional.
• B)Congress wasn't willing to cut spending enough.
• C)Congress controls only the cyclical portion of government spending.
• D)Congress wasn't willing to increase taxes enough.

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Definitions:

Indifference Curves

Graphical representations in economics showing combinations of goods that give the consumer equal satisfaction and utility.

Utility Function

A utility function is a mathematical representation of a consumer’s preferences, ranking different bundles of goods according to levels of satisfaction.

Indifference Curve

A graph showing different bundles of goods between which a consumer is indifferent, meaning they would derive the same level of satisfaction from any combination.

Bliss Point

The optimal quantity of consumption where any further increase or decrease would lead to a lower level of satisfaction for the consumer.