Question

In a macroeconomic context, what are implicit liabilities? Money owed to people possessing government issued bonds. The amount of money that firms collectively owe to shareholders. Money that the government has promised to pay in the future. Payments that the Federal Government undertakes only during periods of recession. Which of the choices is a significant implicit liability in the United States? military spending education spending National Science Foundation spending Social Security

Answer 1

Answer:

The correct answer is:  Money that the government has promised to pay in the future.

The correct answer is: Social Security.

Explanation:

Implicit liabilities in the macroeconomic context are implicit public debt. These are the payments that the government has to make in the future. It includes payments such as a pension, health insurance, social security benefits, etc. They are called implicit cause they are not included in debt statistics.

Explicit public debt is called liabilities and includes loans and bonds.