Question 1During recessions:A. savings rise.B. corporations pay much less corporate income taxes.C. less people collect unemployment benefits.D. the government will raise taxes and run a budget surplus.Question 2In the 1930s John Maynard Keynes said that our main economic problem was:A. weak aggregate demand.B. too much government spending.C. big budget deficits.D. high interest rates.Question 3According to __________ deficits cause crowding-out.A. the federal governmentB. keynesiansC. monetaristsD. classical theoristsQuestion 4A deficit is created when:A. the government is taking in more than it is paying out.B. there are lower taxes and higher government spending.C. the government is paying out more than it is taking in.D. government spending is predominantly overseas.
Back