The Budget of an Economy Is Said to Be in Deficit

question 86

Multiple Choice

The budget of an economy is said to be in deficit when:

• A)federal outlays exceed revenues.
• B)federal revenues exceed outlays.
• C)anticipated inflation rate exceeds its actual rate.
• D)there is a loss of value of a country's currency with respect to one or more foreign reference currencies.
• E)anticipated interest rate exceeds its actual rate.

Recognize that disgust is at least partially a learned emotion.

Comprehend the emotional motivations behind actions like apologizing and helping behavior.

Learn about the psychological impacts of guilt and shame.

Identify how emotions influence moral judgments.

---

Definitions:

Unemployment

The situation where individuals who are capable of working and are actively seeking employment are unable to find a job.

Binding Price Ceiling

A government-imposed maximum price on goods or services that is set below the market equilibrium price, leading to shortages.

Binding Price Floor

A government-imposed price control that sets a minimum price for a good or service above the equilibrium price, leading to excess supply.

Surplus

The excess of production or supply over demand, often leading to lower prices or wasted resources if not managed effectively.