When the Equation X = GDP - C- I -

question 54

Multiple Choice

When the equation X = GDP - C- I - G yields a negative X, it represents a situation in which the country:

• A)experiences runaway inflation.
• B)experiences robust GDP growth.
• C)experiences a huge budget deficit.
• D)borrows to cover the difference between production and spending.
• E)lends to cover the difference between production and spending.

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