In the long run, a higher government budget deficit causes
A) a decrease in both private spending and equilibrium real GDP.
B) an increase in both private spending and equilibrium real GDP.
C) a decrease in private spending while equilibrium real GDP remains unchanged.
D) no change in private spending but a decrease in equilibrium real GDP.
C
Economics
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The Fed conducts reverse repurchase agreements with:
A. banks only. B. the federal government only. C. banks and financial institutions other than banks. D. only financial institutions that are not banks, such as the federal government.
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A proprietorship is a firm with
A) two or more owners who both have unlimited liability. B) a single owner who has limited liability. C) a single owner who has unlimited liability. D) many owner all of whom have limited liability.
Economics