Which of the Following Would Decrease the Cyclically Adjusted Deficit

question 54

Multiple Choice

Which of the following would decrease the cyclically adjusted deficit?

• A)an increase in income
• B)a decrease in income
• C)an increase in the primary deficit
• D)a decrease in the primary deficit
• E) none of the above

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Definitions:

Stocks

Shares of ownership in a company, which represent a claim on the company's earnings and assets.

Investment

Applying resources, typically financial, in order to gain income or profit.

Portfolio

An aggregation of financial instruments such as company shares, debt securities, tangible commodities, available cash, and cash-like resources, including mutual funds and ETFs.

Perfectly Positively Correlated

A situation where two variables move in the same direction at the same rate, represented by a correlation coefficient of +1.