l0 on5 The following levels of government determine a budget each year to show how much revenue the government expects to receive in taxes and other income and how the government plans to spend it: 0 Federal only O State and federal only O Federal, state. and local 0 Local only ll of 25 Comparing government spending over time in nominal dollars is misleading because 0 A- it does not take into account ination. O B - it does not take into account growth in population. 0 C - it does not take into account spending on social security benefits. O D - Both Aand B are correct. l2 0f25 Prior to the invention of laptops and the software on the laptop. people would use a typewriter. An average person could spend 10 hours typing a term paper on a typewriter that today would take 1 hour. This is known as O an increase in the physical capital per person. 0 a decrease in the phySical capital per person. O a decline in productivity. 0 None of the above. 14 of25 Rational expectation theow holds that people form the most accurate possible expectations about the future they can, using all the information available to them at the time. That being said, in an economy where most people have rational expectations, it would be safe to say this supports that 0 economic adjustments will happen quickly and thus support neoclassical theory. 0 economic adjustments will not happen quickly and thus does not support neoclassical theory. 0 economic adjustments won't be impacted and have no impact on the neoclassical theory. 0 economic adjustments will happen quickly and thus support Keynesian theory 13 of 25 A U.S. preSidential candidate that runs his or her campaign pledging to improve pUbIlC schools and crime may, instead, want to run for state governor or mayor of a city because O the federal government spends $100 billion on education. 0 education and crime are generally the concerns of state and local governments. 0 education and crime cannot be solved. 0 education and crime are generally the concern of the federal government