Suppose That at the Start of Fiscal Year 2013 the Government

question 23

Multiple Choice

Suppose that at the start of fiscal year 2013 the government had a debt of $6800 billion.Suppose that during fiscal year 2013,real GDP grew by about 5 percent and inflation was about 3 percent.What is the largest deficit the government could have run without raising the debt-to-GDP ratio?

• A)about $544 billion
• B)about $375 billion
• C)about $245 billion
• D)about $184 billion

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Definitions:

Reasonably Stable Patterns

Regular or consistent behaviors, thoughts, or emotions that remain relatively unchanged over time.

Personality

The combination of emotional, attitudinal, and behavioral response patterns of an individual that is distinct from one another.

Emotions

Complex psychological states that involve physiological arousal, expressive behaviors, and conscious experience.

Psychodynamic Theories

Theories that emphasize the influence of the unconscious mind and childhood experiences on personality and behavior.