An increased federal budget deficit resulting from a recession can actually help stabilize an economy through transfer payments because an increased budget deficit will ________ transfer payments and thereby ________ the income of some households

When a central bank sells bonds, cash reserves throughout the financial system increase, interest rates fall, and investment spending increases

Indicate whether the statement is true or false

Which of the following are risks for multinational corporations but not risks for domestic corporations?

A) changes in government rules and regulations B) capital controls C) changes in tax laws D) government red tape and corruption