Question 1
A cash payment made by the government to people who do not supply goods, services or labor in exchange for the payment is a(n)
◦ budget deficit.
◦ transfer payment.
◦ "in kind" payment.
◦ dividend payment.
Question 2
A household that spends more than it receives in income during a given period is
◦ saving.
◦ dissaving.
◦ running a deficit.
◦ receiving transfer payments.