Suppose the Economy Is at a Full-Employment GDP of $1

question 21

Multiple Choice

Suppose the economy is at a full-employment GDP of $1 trillion and the tax revenue received by the federal government is always one-fifth of GDP.If planned government expenditure is $300 billion,the structural

• A)Deficit is zero.
• B)Deficit is $100 billion.
• C)Surplus is $100 billion.
• D)Deficit is $500 billion.

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Definitions:

Standard Of Care

The level of carefulness and caution expected from someone who has a responsibility to act cautiously.

Negligence Case

A legal case involving a failure to behave with the level of care that someone of ordinary prudence would have exercised under the same circumstances, resulting in harm or damage.

Comparative Negligence

A legal principle under which the fault for an accident is divided among all parties involved based on the degree of responsibility of each party.

Pure Comparative

A legal principle of negligence law allowing a plaintiff to recover a percentage of damages even if they are partially at fault, with compensation reduced by their percentage of fault.