If the economy's full-employment output is $5 trillion, actual output is $5 trillion, and the budget deficit is $13 billion, the deficit in this case is known as a O A) Full employment deficit. O B) Cyclical deficit. O C) Structural deficit.
If the economy's full-employment output is $5 trillion, actual output is $5 trillion, and the budget deficit is $13 billion, the deficit in this case is known as a O A) Full employment deficit. O B) Cyclical deficit. O C) Structural deficit.
Principles of Economics 2e
2nd Edition
ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter30: Government Budgets And Fiscal Policy
Section: Chapter Questions
Problem 12SCQ: In a recession, does the actual budget surplus or deficit fall above or below the standardized...
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![If the economy's full-employment output is $5 trillion, actual
output is $5 trillion, and the budget deficit is $13 billion, the deficit
in this case is known as a
O A) Full employment deficit.
O B) Cyclical deficit.
O
C) Structural deficit.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F0c7cfcd9-5c82-4c77-bb58-53133561e0e4%2F38cca67c-fef5-47f6-abb3-e093108f606b%2F6zdwt7v_processed.png&w=3840&q=75)
Transcribed Image Text:If the economy's full-employment output is $5 trillion, actual
output is $5 trillion, and the budget deficit is $13 billion, the deficit
in this case is known as a
O A) Full employment deficit.
O B) Cyclical deficit.
O
C) Structural deficit.
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