If the Government Spends More Than It Takes In, We

question 16

Multiple Choice

If the government spends more than it takes in, we have a budget _____.

• A) shortage
• B) deficit
• C) scarcity
• D) insufficiency

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Definitions:

Profit-Maximizing

The process by which a firm determines the price and output level that returns the greatest profit.

Per-Bushel Profit

The financial gain earned by selling a bushel (a unit of measure for volume) of agricultural produce, after subtracting the cost of production.

Profits

The financial gain obtained when revenue from sales exceeds costs and expenses associated with operating a business.

Farmer

Someone who works in the agricultural sector, producing living items for nourishment or foundational substances.