GDP is $12 trillion this year in a closed economy. Consumption is $8 trillion and government spending is $2 trillion. Taxes are $0.5 trillion. What is the government budget balance?
A) a surplus of $1.5 trillion
B) a deficit of $1.5 trillion
C) a surplus of $0.5 trillion
D) a deficit of $0.5 trillion
Correct Answer:
Verified
Q15: MOST physical capital, except for infrastructure, is
Q16: Private savings equals:
A) income after taxes minus
Q17: Economists view _ as investment spending.
A) stocks
B)
Q18: MOST human capital is provided by: I.
Q19: The budget balance equals:
A) taxes plus government
Q21: To help increase investment spending, the government
Q22: In an open economy, total investment equals:
A)
Q23: In a closed economy, investment spending, I,
Q24: In a closed economy, all investment spending
Q25: The savings-investment spending identity says that:
A) each
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