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Everything Else Remaining the Same, as the Economy Enters a Recession

Question 48

Multiple Choice

Everything else remaining the same, as the economy enters a recession,


A) tax revenues rise and interest payments on the debt rise.
B) tax revenues and transfer payments rise.
C) government outlays rise and tax revenues fall.
D) government outlays tend to fall and tax revenues fall.
E) interest payments on the debt rise and tax revenues fall.

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