Which of the following statements is TRUE about the difference between the public debt and the government budget deficit?
A) The public debt is a flow measure and the government budget deficit is not a flow measure.
B) There is no relationship between the public debt and the government budget deficit since one is a stock measure and the other is a flow measure.
C) The public debt always increases while the government budget deficit may increase or decrease.
D) The public debt for this year will increase or decrease depending upon whether there is a government budget deficit or a government budget surplus.
D
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How does the price range affect the elasticity of demand for a product?
(A) Price range has little or no effect on elasticity of demand for a good. (B) Demand for a good can be elastic at a low price but inelastic at a high price. (C) Demand for all goods is elastic if the price is low enough. (D) Demand for a good can be inelastic at a low price, but elastic at a high price.
A redistributive program that taxes the rich and gives to the poor _____
a. is an example of equality of opportunity in action b. is an example of equality of results in action c. is an example of the an economically efficient transfer d. is an example of a procedural theory of justice in action