The actual budget deficit of the federal government in 1991 was about $30 billion.On the basis of this information it:
A) can be concluded that the economy was faced with serious inflation in 1991.
B) cannot be determined whether fiscal policy had an expansionary or a contractionary impact in 1991.
C) can be concluded that fiscal policy was contractionary in 1991.
D) can be concluded that fiscal policy was expansionary in 1991.
Correct Answer:
Verified
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