Assume the economy is in a boom period. The increase in revenues in the economy has caused government revenues to increase. As a result, the federal government's budget now shows a surplus. If Congress increases government expenditures:
A) inflation would likely result.
B) unemployment would increase.
C) the economy would stabilize at a higher rate of growth.
D) a government deficit would occur.
Correct Answer:
Verified
Q49: The assertion that large budget deficits have
Q50: The national debt is defined as:
A) the
Q51: In the long run a budget deficit
Q52: One of the main problems with a
Q53: Financing a budget deficit by issuing money
Q55: Which of the following is unlikely to
Q56: Which of the following is not true
Q57: Economists are more concerned about the public
Q58: Which of the following statements is correct?
A)
Q59: It is projected that the public debt
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents