Suppose That the Economy Has a Structural Surplus of $100

question 75

Multiple Choice

Suppose that the economy has a structural surplus of $100 billion and is operating above potential output. From this we can infer that the budget as a whole:

• A)is in deficit.
• B)is balanced.
• C)is in surplus.
• D)could be in deficit or surplus depending on the size of the cyclical deficit.

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Definitions:

Feasibility Planning

The process of analyzing and evaluating the potential of a proposed project or business to determine if it is technically, financially, and legally possible.

Initial Experimentation

The first phase of testing or trial in the process of research or development, where theories or hypotheses are explored to gather early insights.

Organic Structure

An organizational design that is flexible and decentralized, with a focus on employee empowerment and informal communication networks.

Cross-Functional Teams

Cross-functional teams bring together members from different functional departments.