An Increase in Taxes or a Decrease in Spending During

question 74

Multiple Choice

An increase in taxes or a decrease in spending during an economic expansion can

• A) increase the budget deficit but pay off some of the government debt.
• B) work to decrease the budget deficit and pay off some of the government debt.
• C) work to decrease the budget deficit but will not pay off any of the government debt.
• D) increase the budget deficit and increase the size of the government debt.
• E) work to decrease the budget deficit and increase the government debt.

---

Definitions:

Independent Variable

The factor in a study or experiment that is intentionally altered to see its impact on the variable that is being measured.

Research Hypothesis

A specific, testable prediction about a presumed relationship between variables that the researcher seeks to investigate.

Research Hypothesis

A research hypothesis is a specific, testable prediction about the expected outcome of a study or experiment, based on a theory or prior knowledge.