If tax revenues equal 20% of total output and government expenditures equal 25% of total output,then there is a

Name: If tax revenues equal 20% of total output and government expenditures equal 25% of total output,then there is a
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Quizplus · Accepted Answer

Tax revenues are less than government expenditures (20% < 25%), indicating a budget deficit. This means that the government is spending more than it is collecting in taxes, which requires borrowing or printing of money to finance its spending.

If Tax Revenues Equal 20% of Total Output and Government