Which of the Following Statements About the Budget Deficit Is

question 119

Multiple Choice

Which of the following statements about the budget deficit is true?

• A) It is a stock variable.
• B) It is a flow variable.
• C) It is equal to the public debt.
• D) None of the above.

---

Definitions:

A Priori

Knowledge or justification that is independent of experience, typically involving logical reasoning or deduction.

Cognitive Misers

A theory suggesting individuals prefer to minimize mental effort in decision making and problem solving, relying on heuristics and shortcuts.

Observing Behavior

The act of watching or noting the actions of individuals or groups for the purpose of analysis or study.

Attribution Theory

The view that people act as intuitive scientists when they observe other people’s behavior and infer explanations about why those people acted the way they did.