Multiple Choice
The actual budget deficit of an economy was about $30 billion in 2013.On the basis of this information, it:
A) can be concluded that the economy faced severe inflation in 2013.
B) cannot be determined whether the fiscal policy implemented by the government in 2013 was expansionary or contractionary.
C) can be concluded that the fiscal policy implemented by the government in 2013 was contractionary.
D) can be concluded that the fiscal policy implemented by the government in 2013 was expansionary.
Correct Answer:
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