A recession in the rest of the world means U.S

A normal profit is

A) revenues minus opportunity cost of zero. B) revenues minus accounting cost of zero. C) a zero accounting profit. D) revenues minus accounting and opportunity cost of zero.

The government wants to increase its spending by $1 billion to stimulate the economy and is counting on the government spending multiplier to help. Taking into account direct expenditure offset effects, what is its best spending option?

A) a new cruise missile for the military B) expanding the school lunch program C) constructing more low income housing D) providing textbooks for college students