At the end of 2011 the U.S. government had a debt of about $10.12 trillion. During 2012 inflation was about 2.5% and real GDP grew about 1.6%. What is the largest deficit the government could have had in 2012 without raising the ratio of debt to GDP?

Why would a company continue to operate for many years while never once turning a profit rather than shut down immediately? Using revenue and cost analysis, explain when the company would shut down

What will be an ideal response?

In the IS-LM diagram, we are in "general equilibrium"

A) at all points. B) at all points on the LM curve. C) at all points on the IS curve. D) only at the intersection of the IS and LM curves.