Which of the following statements is FALSE?

A) The federal budget deficit in 2004 was about 4 percent of the GDP.
B) During the past five years, the U.S. public debt has been increasing.
C) The public debt of $25 billion is the accumulated debt of all U.S. individuals, firms, and institutions.
D) A budget deficit of $25 billion in a given year increases the public debt by $25 billion.

Ans: C) The public debt of $25 billion is the accumulated debt of all U.S. individuals, firms, and institutions.

Economics

You might also like to view...

If there is a direct relationship between two variables

A) the graph of the relationship will be upward-sloping. B) the graph of the relationship will be downward-sloping. C) the slope of the line (or the slope of a tangent line to the curve) will be negative. D) Both answers A and C are correct.

Economics

Fed Chairman Alan Greenspan managed to keep the rate of inflation low as the economy was growing at a brisk pace by setting and hitting low money supply growth rate targets

Indicate whether the statement is true or false

Economics