Quiz #563

• 1. The government has two macroeconomic policy arms available - fiscal and monetary policy. However, it only has control over monetary policy
• True
• False
• 2. Americans enjoy a higher material standard of living as a result of the Chinese holdings of US government debt.
• False
• True
• 3. A strategy to force the government to maintain a balanced fiscal position that the private domestic sector has to be continuously accumulating debt unless the external account moves into surplus.
• True
• False