Suppose That the Economy Has a Structural Deficit of $100

question 24

Multiple Choice

Suppose that the economy has a structural deficit of $100 billion and a budget deficit of $100 billion. It follows that output:

• A)must equal potential output.
• B)must be above potential output.
• C)must be below its potential output.
• D)could be at, above, or below potential output.

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Definitions:

Febrile

Characterized by or relating to a fever; feverish.

SOAP

An acronym for Subjective, Objective, Assessment, Plan; a method used in medical documentation.

Subjective

Based on or influenced by personal feelings, tastes, or opinions, as opposed to objective facts.

Acronym

A word formed from the initial letters of a phrase or series of words.