If real GDP equals B in the figure below, then
A) None of these
B) there is a structural surplus.
C) there is a structural deficit.
D) the difference between government expenditures and tax revenue is equal to zero.
E) real GDP equals potential GDP.
Correct Answer:
Verified
Q110: The recent use of discretionary fiscal policy
Q111: Critics of discretionary fiscal policy emphasize
A)the unreliability
Q112: Exhibit 26-1 Q113: The structural budget surplus is the size Q114: In practice, automatic fiscal policy has helped Q116: What are the arguments used by the Q117: In using countercyclical policy during a recession, Q118: If real GDP equals C in the Q119: Which of the following is not an Q120: Policy rules tend to make the budget
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