Suppose the Government Decided to Ensure That Its Structural Budget

question 107

Multiple Choice

Suppose the government decided to ensure that its structural budget deficit was always zero.This policy would be problematic because

• A)it would act as a built-in destabilizer.
• B)it would entail a rising debt-to-GDP ratio.
• C)it would tend to mean that net exports would be crowded out.
• D)it would require continual fiscal expansion.
• E)it would require continual fiscal contraction.

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Definitions:

Mediated Interaction Technologies

comprise digital and electronic technologies that facilitate interpersonal communication and interaction across distances.

Nonverbal Communication

The transfer of information through body language, facial expressions, gestures, and without the use of verbal language.

Dissociative Fugue

An unusual mental health condition marked by temporary memory loss pertaining to one's own identity, including recollections, character traits, and other features that define a person's uniqueness.

Dissociative Disorder

A psychological condition characterized by a disconnection and lack of continuity between thoughts, memories, surroundings, actions, and identity.