A government budget surplus may enable all of the following except

A. A decrease in the money supply.
B. A decrease in taxes.
C. An increase in income transfers.
D. An increase in expenditures on goods and services.

Answer: A

Economics

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Public goods

A) are overproduced by unrestrained markets. B) are simply private goods that the government provides. C) cannot be consumed by more than one person without the degradation of the value of the good. D) can be consumed by more than one person without degradation of the value of the good.

Economics

What are “coordination failures” and why are they important for interpreting the macro economy?

What will be an ideal response?

Economics