High budget deficits may:
a. encourage overly expansionary fiscal policy.
b. create higher inflation.
c. increase the risk of sovereign debt default.
d. all of the above.
D
Economics
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All the following are assumptions of the classical model EXCEPT
A) pure competition exists. B) buyers and sellers react to nominal money prices rather than to relative prices. C) wages and prices are flexible. D) people are motivated by self-interest.
Economics
Kaitlyn and Larissa have formed a dog bathing and grooming business business. The number of dogs they can bathe or groom in any given day is depicted in Table 2.1. The opportunity cost of grooming the sixth dog in a day is bathing ________ dog(s)
A) 0 B) 5 C) 6 D) 7
Economics