The structural deficit:
A) rises as the economy expands and falls when it contracts.
B) falls as the economy expands and rises when it contracts.
C) changes as actual income changes regardless of potential income.
D) does not change when actual income changes; it but changes only when potential income changes.
Correct Answer:
Verified
Q30: If actual income is $300 billion, potential
Q31: If actual income is $300 billion, potential
Q32: If taxes and government expenditures were constant
Q33: When the economy is operating close to
Q34: A policy of fiscal austerity could have
Q36: The cyclical deficit:
A)is not affected by changes
Q37: Economists who focus on the need for
Q38: Compared to the predictions of the standard
Q39: If income falls below its potential and
Q40: Deficits and surpluses are best viewed as:
A)comprehensive
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