What Is the Relationship Between the Government's Budget Deficit and Its

question 117

Multiple Choice

What is the relationship between the government's budget deficit and its tax revenue?

• A) Budget deficit = government spending + tax revenue
• B) Budget deficit = government spending - tax revenue
• C) Government spending = budget deficit / tax revenue
• D) Tax revenue = government spending + budget deficit
• E) Budget deficit = tax revenue - government spending

---

Definitions:

Production Function

Describes the relationship between inputs used in production and the resulting output.

Positive

Characterized by or denoting an occurrence or condition that is affirmatively present or beneficial, often used in the context of positive effects or outcomes.

Lady of Auxerre

A small, ancient Greek sculpture representing a goddess or maiden, notable for its archaic style and originating from Crete.

Kore

Greek, “young woman.” An Archaic Greek statue of a young woman.