Refer to the scenario above. You should use ________ to arrive at a decision

A change in the growth rate of a country of one percentage point annually has

A) a large impact on the economy in the current year, but not in the future. B) a large impact in the future due to compounding. C) a small impact in the current year, and smaller impact in the future because of compounding. D) very little impact on the economy of a country.

The stimulus package of 2009 had the effect of

A) causing higher rates of inflation to occur. B) giving new foreign aid to help less developed countries. C) significantly raising the debt to GDP ratio. D) reducing the primary government deficit.