If the Federal Budget Is Initially Balanced and Government Expenditures

question 142

Multiple Choice

If the federal budget is initially balanced and government expenditures remain constant, then an
Increase in GDP will _________ tax revenues and create a budget _________.

• A) increase tax revenues and create a budget surplus.
• B) increase tax revenues and create a budget deficit.
• C) decrease tax revenues and create a budget surplus.
• D) decrease tax revenues and create a budget deficit.

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Definitions:

Social Information Processing Theory

Information from others is used to interpret events and develop expectations about appropriate and acceptable attitudes and behaviours.

Information Dependence

The extent to which individuals or organizations rely on others for obtaining information necessary for making decisions or carrying out tasks.

Social Information Processing Theory

A theory that suggests individuals give meaning to their interactions and relationships in online spaces based on textual and non-verbal cues over time.

Information Dependence

Refers to the extent to which individuals or organizations rely on others for obtaining information necessary for their decision-making processes.