Which of the Following Is Not an Example of a Government

question 12

Multiple Choice

Which of the following is not an example of a government purchase?

• A)schools and teacher salaries
• B)Chinese toys to be sold in discount department stores
• C)aircraft carriers
• D)interstate highway construction
• E)All the answers are correct

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Definitions:

Self-correct

The ability of an economic market to adjust and return to equilibrium without external intervention.

Aggregate Demand Curve

Represents the total spending on domestic goods and services at various price levels, showing the inverse relationship between price level and demand.

Short-run Aggregate Supply

Represents the total amount of goods and services that producers are willing and able to supply at different price levels in the short-term, considering some prices are sticky.

Passive Policy

A government or regulatory approach that involves minimal intervention in the economic affairs of individuals and businesses.