If Fiscal Stimulus Creates a Large Budget ________, Then in the Long

question 41

Multiple Choice

If fiscal stimulus creates a large budget ________, then in the long run economic growth ________.

• A) surplus; decreases
• B) surplus; increases
• C) deficit; increases
• D) deficit; decreases
• E) None of the above answers is correct.

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Definitions:

Economic Loss

Financial damage suffered by a person or entity, often due to breach of contract, negligence, or external market factors.

Insurance

A contract whereby one party pays premiums to another party who undertakes to pay compensation for losses resulting from risks or perils specified in the contract.

Insured

A person or entity covered under an insurance policy, receiving protection against specified losses or damages in exchange for payment of a premium.

Fee

A charge or payment for a service, often imposed by a professional or official body.