What is the main argument put forward by economists who are in favour of a slow and steady reduction of the US budget deficit?
A) It eases the pain of lower demand and lower growth, at a time when unemployment is still very high.
B) It eases the pain of a lower exchange rate and lower growth, at a time when unemployment is still very high.
C) It eases the pain of a lower bond rate and a lower exchange rate, at a time when unemployment is still very high.
D) It eases the pain of lower demand and lower exports, at a time when unemployment is still very high.
E) It eases the pain of a lower exchange rate and a lower interest rate, at a time when unemployment is still very high.
Correct Answer:
Verified
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