A cyclical deficit reflects__________, while a structural deficit reflects ___________ fluctuations in federal revenues at full employment under prevailing fiscal policy; fluctuations in the costs of maintaining programs and policies that are increasing faster than revenues. fluctuations in budget deficit due to automatic stabilizers for entitlement programs; fluctuations in economic activity caused by a decline in the economy. fluctuations in economic activity as a result of discretionary fiscal policy; fluctuations in the costs of maintaining programs and policies that are increasing faster than revenues. 4. fluctuations in deficit spending due to contraction of the macro economy; fluctuations in federal revenues at full employment under prevailing fiscal policy.
A cyclical deficit reflects__________, while a structural deficit reflects ___________ fluctuations in federal revenues at full employment under prevailing fiscal policy; fluctuations in the costs of maintaining programs and policies that are increasing faster than revenues. fluctuations in budget deficit due to automatic stabilizers for entitlement programs; fluctuations in economic activity caused by a decline in the economy. fluctuations in economic activity as a result of discretionary fiscal policy; fluctuations in the costs of maintaining programs and policies that are increasing faster than revenues. 4. fluctuations in deficit spending due to contraction of the macro economy; fluctuations in federal revenues at full employment under prevailing fiscal policy.
Chapter11: Fiscal Policy
Section: Chapter Questions
Problem 3.11P
Related questions
Question
- A cyclical deficit reflects__________, while a structural deficit reflects ___________
- fluctuations in federal revenues at full employment under prevailing fiscal policy; fluctuations in the costs of maintaining programs and policies that are increasing faster than revenues.
- fluctuations in budget deficit due to automatic stabilizers for entitlement programs; fluctuations in economic activity caused by a decline in the economy.
- fluctuations in economic activity as a result of discretionary fiscal policy; fluctuations in the costs of maintaining programs and policies that are increasing faster than revenues.
4. fluctuations in deficit spending due to contraction of the macro economy; fluctuations in federal revenues at full employment under prevailing fiscal policy.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.Recommended textbooks for you
