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The Weekend Quiz – October 16-17, 2021

Welcome to The Weekend Quiz. The quiz tests whether you have been paying attention or not to the blog posts that I post. See how you go with the following questions. Your results are only known to you and no records are retained.

1. A nation can run a government sector surplus, which is larger as a proportion to GDP than the external deficit, while the private domestic sector is spending more than they are earning.

2. The automatic stabilisers built into national government fiscal policy always operate in a counter-cyclical manner.

3. Sovereign government spending becomes more costly when the bond markets push yields on new public bond issues up.

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