If the Nominal Deficit Is $300 Billion, Inflation Is 10

question 1

Multiple Choice

If the nominal deficit is $300 billion, inflation is 10 percent, and total debt is $2 trillion, then the real deficit is equal to:

• A)−$20 billion.
• B)−$100 billion.
• C)$20 billion.
• D)$100 billion.

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