Consider the Government's Budget Deficit Function Over a Two-Year Time

question 34

Multiple Choice

Consider the government's budget deficit function over a two-year time span - Years 1 and 2.Suppose in Year 2 there was a lower federal budget deficit than in Year 1.This could be explained by ________ in Year 2.

• A)higher government expenditures (with constant real GDP)
• B)higher real GDP (with constant fiscal policy)
• C)lower real GDP (with constant fiscal policy)
• D)a higher stock of government debt
• E)an upward shift of the budget deficit function

---

Definitions:

Product Line

A group of related products marketed by the same company that function in a similar manner, are sold to the same customer groups, and marketed through the same types of outlets.

Marketing Concept

A business philosophy suggesting that to achieve organizational goals, a company must anticipate and satisfy customers' needs and wants better than its competitors.

Creating

The act or process of bringing something into existence or giving rise to something original.

Exchanging Offerings

The process of trading value between buyers and sellers, typically involving goods, services, or information.