Here are the answers with discussion for this Weekend’s Quiz. The information provided should help you work out why you missed a question or three! If you haven’t already done the Quiz from yesterday then have a go at it before you read the answers. I hope this helps you develop an understanding of Modern…
The Weekend Quiz – January 29-30, 2022
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.
Quiz #672
- 1. As a matter of accounting, the financial assets held by the non-government sector immediately rise $-for-$ when a sovereign government issues debt.
- False
- True
- 2. When government bond yields for new issues start to rise, government spending becomes more expensive.
- False
- True
- 3. In a fiat monetary system (for example, US or Australia) with an on-going external deficit that exceeds the public deficit (expressed as percentages of GDP), the domestic private sector cannot reduce its overall debt levels (by saving) without incurring employment losses.
- False
- True
Sorry, quiz 672 is now closed.
You can find the answers and discussion here
