Government Spending ch 10-11

Multiple Choice

The public sector refers to businesses and organizations that are privately owned and operated for profit.

• True

• False

Multiple Choice

What is an example of federal government spending?

• Funding for public schools

• National defense

• Local road maintenance

• Garbage collection

Multiple Choice

What is the primary purpose of the national debt?

• To track individual citizens' debt

• To fund current government spending that exceeds revenue

• To lend money to other countries

• To regulate inflation

Open Ended

Explain the concept of the circular flow of finance. How do financial institutions, households, and businesses interact within this flow?

Open Ended

Compare and contrast bull and bear markets. How might each affect an investor's decisions?