In a market system, the ultimate decision about what to produce ...

[luminitza]

In a market system, the ultimate decision about what to produce is left to
 
  A) buyers.
  B) the government.
  C) sellers.
  D) households.

Question 2

Evidence to support the Ricardo-Barro effect would show that
 
  A) government budget deficits have no effect on the real interest rate or investment.
  B) higher government budget surpluses decrease investment.
  C) higher government budget deficits decrease investment.
  D) higher government budget deficits raise the real interest rate.
  E) government budget deficits increase household consumption.

[pocatato]

Answer to Question 1

C

Answer to Question 2

A

[luminitza]

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[chereeb]

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