Because the government has so much money, and can print more, it ...

[TVarnum]

Because the government has so much money, and can print more, it does not need to borrow and therefore rarely pays net interest on debt.
 
  Indicate whether the statement is true or false

Question 2

In the range of disposable income where the consumption function lies above the 45 line,
 
  A) disposable income is negative.
  B) saving is negative.
  C) disposable income equals planned expenditures.
  D) induced consumption is zero.
  E) saving is positive.

[matt]

Answer to Question 1

FALSE

Answer to Question 2

B