Figure 16-1 -In Figure 16-1, There Are Four Levels of Income.G Is

question 211

Multiple Choice

Figure 16-1

-In Figure 16-1, there are four levels of income.G is government expenditures and TT is taxes less transfers.Y3 is the full-employment level of income.At Y3

• A)there is an official deficit but a structural budget balance.
• B)there is a structural deficit but an official budget surplus.
• C)the official and structural deficit are in balance.
• D)both the official and structural budgets show a deficit.

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