question archive Determine if the following statements are true or false
Determine if the following statements are true or false
Subject:EconomicsPrice:2.88 Bought3
Determine if the following statements are true or false.
(i) During the 1980s, U.S. debt, when expressed as a percentage of GDP, decreased during an era of limited government spending.
(ii) U.S. debt, when expressed as a percentage of GDP, has been relatively uniform over time.
(iii) Budget deficits are thought to reduce crowding out.
(iv) U.S. debt has, at some points in history, exceeded GDP.
(v) Government spending, and hence, U.S. debt, typically increases around times of war.
(vi) Cutting taxes is a strategy a president can use to get re-elected, but it can also increase government debt.
Purchase A New Answer
Custom new solution created by our subject matter experts
GET A QUOTE
Answer Preview
(i) During the 1980s, U.S. debt, when expressed as a percentage of GDP, decreased during an era of limited government spending.
True
(ii) U.S. debt, when expressed as a percentage of GDP, has been relatively uniform over time.
False, US debt has risen over time
(iii) Budget deficits are thought to reduce crowding out.
False, as budget deficits rise, interest rates rise, investments reduces
(iv) U.S. debt has, at some points in history, exceeded GDP
True.
(v) Government spending, and hence, U.S. debt, typically increases around times of war.
True
(vi) Cutting taxes is a strategy a president can use to get re-elected, but it can also increase government debt.
True
