Which of the Following Assumptions Is Usually Made About Government

question 66

Multiple Choice

Which of the following assumptions is usually made about government purchases?

• A)They vary directly with the interest rate.
• B)They are autonomous.
• C)They vary directly with the level of income.
• D)They equal the level of net taxes in equilibrium.
• E)They vary inversely with the level of income.

---

Definitions:

Divorce

The legal termination of a marriage by a court or other competent body, officially dissolving the marital union between two people.

Custodial Fathers

Fathers who have been granted primary legal and/or physical custody of their children post-divorce or separation.

Non-custodial Fathers

Fathers who do not have legal custody of their children but may have rights to visitation and are often required to pay child support.

Cohabiting Relationship

A living arrangement in which two people who are not married live together in an intimate relationship.