A Policy of Fiscal Austerity Could Have Difficulty Lowering the Debt-To-GDP

question 119

Multiple Choice

A policy of fiscal austerity could have difficulty lowering the debt-to-GDP ratio because it might:

• A)lower potential output and government spending.
• B)raise both GDP and government revenue.
• C)lower both GDP growth and government revenue.
• D)raise potential output and government spending.

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Definitions:

Prosecuting Attorney

A legal representative responsible for presenting the case in a criminal trial against an individual accused of breaking the law.

Criminal Litigation

The process of bringing and conducting a lawsuit against someone charged with a criminal offense, encompassing the trial and any appeals.

Indictment

A formal charge or accusation of a serious crime, presented by a grand jury.

Probable Cause

A standard of reason which suggests that a crime has been, or is being, committed and justifies police making an arrest or conducting a search.