Homework answers / question archive / Question 14 2 pts G-T, is called the and G,+18,-T, is called the O primary deficit; secondary deficit primary deficit; total deficit budget surplus; government debt total deficit primary deficit O state and local deficit; federal deficit Question 15 2 pts An implication of the intertemporal budget constraint is that: the government must always have a balanced budget

Question 14 2 pts G-T, is called the and G,+18,-T, is called the O primary deficit; secondary deficit primary deficit; total deficit budget surplus; government debt total deficit primary deficit O state and local deficit; federal deficit Question 15 2 pts An implication of the intertemporal budget constraint is that: the government must always have a balanced budget

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Question 14 2 pts G-T, is called the and G,+18,-T, is called the O primary deficit; secondary deficit primary deficit; total deficit budget surplus; government debt total deficit primary deficit O state and local deficit; federal deficit Question 15 2 pts An implication of the intertemporal budget constraint is that: the government must always have a balanced budget. the government can borrow as much as it wants. all generations pay the same amount of taxes. the government can borrow only as much as it can credibly pay back. the government must balance its budget over the business cycle.

Question 5 2 pts When capital depreciation is included in the arbitrage equation for capital, the user cost of capital is given by: O2+ Ap. OR+d-(App). OR+d-MPK OR 2-MPK O MPK+R+a Question 6 2 pts The user cost of capital equals the: O rate of inflation + the marginal product of capital o the marginal cost of capital. O initial capital stock + the stock market value. O real interest rate the depreciation rate the capital gain. O nominal interest rate the capital gain.