Multiple Choice
In the two-period SOE model
A) the consumption of the government and private consumers is treated as a national choice.
B) Ricardian equivalence does not hold.
C) there is no trade with the outside world.
D) there is no government.
E) government spending is exogenous.
Correct Answer:
Verified
Correct Answer:
Verified
Q24: The current account surplus is NOT<br>A)private saving
Q25: In the two-period model with default<br>A)default occurs
Q26: If consumption increases, and government spending decreases
Q27: In a two-period model, holding everything else
Q28: In a two-period SOE model, holding everything
Q30: In a two-period SOE model with production,
Q31: In a two-period SOE model with production,
Q32: In a two-period SOE model, holding everything
Q33: In the two-period SOE model with production
Q34: International trade has increased for all of