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Which of the Following Is Not True

Question 107

Multiple Choice

Which of the following is not true?


A) The federal budget deficit works as a sort of automatic economic stabilizer.
B) The selling of government securities to pay for a deficit spurs private investment spending.
C) Tax revenues move in the same direction as the business cycle.
D) Expenditures on transfer payments move in the opposite direction of the business cycle.

Correct Answer:

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