Assuming the Economy Was in Equilibrium,use the Following Information to Determine

question 106

Multiple Choice

Assuming the economy was in equilibrium,use the following information to determine the government's budget deficit.
$$\begin{array} { | l | r | } \hline \text { Cansumption Spending } & \mathbf { \$ 3 . 5 } \text { tillian } \\\hline \text { Net Taxes } & \mathbf { 2 } .7 \text { tillian } \\\hline \text { Hausehold Seving } & \mathbf { 2 . 5 \text { tillian } } \\\hline \text { Investment Spenfing } & \mathbf { 2 . 2 \text { tillian } } \\\hline \text { Guvernment Purchases } & \mathbf { \$ 3 . 0 \text { tillian } } \\\hline\end{array}$$
The government's deficit (surplus) was

• A) -$0.3 trillion deficit ($0.3 trillion surplus)
• B) -$0.2 trillion deficit
• C) $0.2 trillion deficit
• D) $0.3 trillion deficit
• E) $0.5 trillion deficit

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