An equal increase in government purchases and taxes will cause an increase in real GDP. no change in real GDP. an increase in the budget surplus. a reduction in cyclically adjusted budget surplus.
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- Government spending in the federal budget that Congress can adjust as it wishes is calledDescribe the following term in your own words. Balanced budgetFederal budget deficits occur when Interest payment on national debt increase from one year to the next. High level of unemployment uses up tax collections. Federal government spends more money than it collects in taxes in a given year. More money is being spent by the government than it was being allocated.
- Debt is the same as the deficit. good if it increases productivity more than the debt payment. increased by a budget surplus. bad in all cases.A government's debt is reduced when it Group of answer choices runs a surplus. runs a deficit. balances is budget. sells more bonds.Question 30 The largest portion of the federal budget is dedicated to discretionary spending. mandatory outlays. interest payments. tax collection. defense spending.
- Which types of budget cuts only reduce areas that have overspending? Group of answer choices Overestimated Cuts Targeted Cuts Across-the-Board Cuts Line-Items CutsDuring an economic _______, there is a decline in economic activity, including falling GDP, rising unemployment, and reduced consumer spending. To combat this, governments often implement _______ fiscal policies to stimulate the economy. A) expansion, contractionaryB) downturn, expansionaryC) boom, contractionaryD) recession, expansionary.The federal budget usually shows a surplus. True or False?
- Which of the following statements about a country's budget is not true? Budget deficit occurs when the government spending exceeds the taxes collected A budget surplus is always beneficial for investors in the financial markets A country's outstanding debt may decrease during a budget surplus None of the aboveFiscal stance refers toA simultaneous increase in taxes and increase in government spending would result to the following:
