The Real Burden of an Increase in the Public Debt

question 68

Multiple Choice

The real burden of an increase in the public debt:

• A)may be very small or conceivably zero when the economy is in the midst of a severe depression.
• B)will be smaller when full employment exists than it will when the economy has large quantities of idle resources.
• C)can be shifted to future generations if the debt is internally financed.
• D)can best be measured by the dollar increase in the size of the debt.

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Definitions:

Contact Metamorphism

The process by which rocks are transformed in composition and texture due to high heat but moderately low pressure, typically near a heat source like magma.

Tight Folds

Rock layers that have been bent very closely together, typically as a result of high pressure, forming narrow and sharp folds.

Cleavage

A property of minerals that allows them to break along smooth, flat surfaces, determined by the mineral's crystal structure.

Columnar Joints

Natural formations resulting from the cooling and cracking of volcanic rock into nearly hexagonal columns.