Exam 17: Federal Deficits, Surpluses, and the National Debt

To finance a federal budget deficit, the U.S. Treasury borrows by selling:

The federal budget deficit has been over 30 percent of GDP since the early 1980s.

"Crowding out" is the theory that an increase in our federal government's budget deficit will likely:

Which of the following is true ?

The debt ceiling places a legal limit on the size of the national debt.

The national debt in the U.S. is a much larger percentage of our annual GDP than in similar industrial countries such as Canada, Sweden, and Australia.

The percentage of the national debt held by foreigners is approximately 25 percent.

As the national debt grows as a percentage of the U.S. economy, which of the following is (are) true ?

Which of the following statements is true ?

Which of the following statements is true ?

Currently, how much of the U.S. national debt was owed to foreigners?

Which of the following U.S. Treasury securities represents ownership of the national debt?

Between 1998 and 2001, the federal budget was:

The national debt is unlikely to cause national bankruptcy because the:

The total accumulated debt of the federal government due to deficit spending is called the:

The way to prevent the national debt from growing is for the budget not to be in deficit.

The sum of past federal budget deficits is the:

The entire national debt is owed to U.S. citizens.

Supply-side economists argue that less government spending:

The federal government never has to pay off the national debt.