Multiple Choice
Incurring an internal debt to finance a war like World War II does not pass the true cost of the war on to future generations because
A) the opportunity cost of wartime expenditures was borne by the generation that lived during the war.
B) the Federal government can shift expenditures from military goods to the production of other public goods.
C) the Federal government has the power to levy taxes to pay its debts.
D) wartime inflation reduces the relative size of the public debt.
Correct Answer:

Verified
Correct Answer:
Verified
Q55: To say that "the U.S.public debt is
Q57: When the Federal government uses taxation and
Q58: Suppose the government purposely changes the economy's
Q59: In 2015, foreign ownership of the total
Q62: You are given the following information about
Q63: In 2015, about percent of the U.S.public
Q64: Assume that the economy is in a
Q124: A budget surplus means that<br>A) government expenditures
Q268: The crowding-out effect works through interest rates,
Q368: Which of the following is not considered