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

It is important to distinguish between the privately held portion of the national debt and the portion held by government agencies and the Federal Reserve System because:

If the federal government runs a budget ____,then the national debt becomes ____.

Between 1960 and 1997,the federal budget was never in surplus.

If the national debt rises to the debt ceiling and there is currently a budget ____,the Congress and the President must agree to ____ the debt ceiling or else the federal government will have insufficient funds to pay its bills and will be forced to shut down.

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

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

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

Which of the following portions of the national debt impose a net interest burden on the federal government?

Which of the following is true?

An increase in fiscal deficit spending financed by borrowing will increase the national debt.

If Congress fails to pass a budget before the fiscal year starts,then federal agencies may continue to operate only if Congress has passed a:

According to the crowding-out view,budget deficits will:

Which of the following correctly describes the national debt?

One of the problems with a growing national debt is the growing interest payments which must be paid on that debt.

When the U.S.federal government runs a budget deficit,it borrows money by selling:

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

If the federal government has a budget surplus,then the national debt is:

Supply-siders feel that high levels of government spending:

Between 1945 and 1980,the national debt as a percent of GDP:

If the federal government runs a budget deficit,but the budget deficit as a percent of GDP is less than the growth rate of real output,the: