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If the Structural Deficit Shows a Surplus

Question 30

Multiple Choice

If the structural deficit shows a surplus


A) government officials should begin to slow down the economy to prevent the impending danger of inflation.
B) actual revenues exceed actual expenditures.
C) the actual unemployment rate must be less than 4 percent.
D) fiscal policy is not overly expansionary, since at full employment, the federal government would be running a surplus.
E) the economy is on a proper course, since the national debt is being retired without undue deflationary pressure.

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