-In the figure above,if there is no Ricardo-Barro effect,the government has a ________ because ________.
A) balanced budget;there is no Ricardo-Barro effect.
B) budget surplus;there is no Ricardo-Barro effect.
C) budget deficit;the SLF curve lies to the right of the PSLF curve.
D) budget deficit;there is no Ricardo-Barro effect.
E) budget surplus;the SLF curve lies to the right of the PSLF curve.
Correct Answer:
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