Exam 12: Federal Budgets and Public Policy

In the years when the U.S.economy was in debt,the economic growth of the country was significant because it had easy access to capital markets.

Crowding out refers to the effect that deficits have on private investment spending.

Except for World War II,the U.S.deficits from 2009 to 2012 were the largest deficits in the nation's history relative to GDP,even larger than during the Great Depression.

In 2016,interest payments on the national debt accounted for almost _____ of federal outlays.

Which of the following is true of the federal budget?

Until 1980,the national debt was mostly the result of:

Before the Great Depression,federal deficits occurred primarily during wartime.

Despite the large federal deficits during the last few decades,public capital in the U.S.declined because:

Which of the following categories constitutes the majority of federal outlays in 2016?

If U.S.interest rates are higher than the world interest rates,we would expect the U.S.dollar to appreciate.

The key link between the twin deficits involves:

Simplifying the budget document by concentrating only on major groupings and eliminating line items would:

The entire U.S.federal budget process,beginning with the delivery of the President's budget to Congress and ending with the beginning of the fiscal year,takes about _____.

The Great Recession of 2007-2009 and the financial crisis of 2008 increased the budget deficit because of:

In 2016,national defense accounted for almost _____ of federal outlays.

State and local governments issue bonds to fund capital projects,such as schools and infrastructure.

Government deficits of one generation cannot affect the standard of living of the next generation.

If a federal budget deficit causes crowding out,_____.

The crowding in of private investment is more likely to occur,when _____.

Continuing resolutions are: