When the Government Goes from Running a Balanced Budget to Running

question 200

Multiple Choice

When the government goes from running a balanced budget to running a budget surplus,

• A)national saving decreases,the interest rate rises,and the economy's long-run growth rate is likely to decrease.
• B)national saving increases,the interest rate falls,and the economy's long-run growth rate is likely to decrease.
• C)national saving decreases,the interest rate rises,and the economy's long-run growth rate is likely to increase.
• D)national saving increases,the interest rate falls,and the economy's long-run growth rate is likely to increase.

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Definitions:

Honesty

Honesty is the quality of being truthful, straightforward, and free from deceit or fraudulence in actions, expressions, or communications.

Gut-Level Communication

A form of deep, honest, and often nonverbal communication that stems from one's core feelings and beliefs.

Workplace

The location or environment where people are employed and perform tasks related to their jobs.

Overdisclosure

Sharing too much personal information or doing so inappropriately, which can lead to discomfort, breaches in privacy, or negative social repercussions.