Even though a high portion of the public debt is held by older and wealthy individuals or institutions, the debt is paid for by increased taxes on

Which of the following statements is FALSE?

A) disposable income - saving = consumption B) consumption + saving = disposable income C) saving = disposable income - consumption D) consumption = saving - disposable income

However linked the war-induced cycle theory is to our economic reality, most economists suppose that

a. war conspiracies, seemingly far-fetched, have much validity b. these cycles were random shocks to an economy already in continuous cyclical motion c. most wars since 1815 (Napoleonic period) were initiated principally to jump-start a sagging economy d. wars are necessary to achieve sustained economic prosperity e. there is no link between war and the economy