-Economic data for a mythical economy in the years 2006 -2010 are summarized in the figure above. Assume that the spending formulas and tax schedules are identical for all years. When the economy is at less than full employment, the government has a

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When the economy is at less than full employment, government revenues typically decrease due to lower tax income, while government spending may increase to stimulate the economy, leading to a budget deficit.

-Economic Data for a Mythical Economy in the Years 2006