A Balanced Budget Would Require That When Real GDP Was

question 33

Multiple Choice

A balanced budget would require that when real GDP was growing rapidly,

• A)the government raise taxes or cut expenditures.This would increase the magnitude of economic fluctuations.
• B)the government raise taxes or cut expenditures.This would decrease the magnitude of economic fluctuations.
• C)the government cut taxes or raise expenditures.This would increase the magnitude of economic fluctuations.
• D)the government cut taxes or raise expenditures.This would decrease the magnitude of economic fluctuations.

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Definitions:

Social Competence

The collection of social, emotional, cognitive, and behavioral skills that enable individuals to effectively navigate social interactions and relationships.

Achievement Motivation

The drive or urge to accomplish goals or meet high standards of performance.

Postconventional Level

According to Kohlberg, a period during which moral judgments are derived from moral principles and people look to themselves to set moral standards.

Moral Judgements

Evaluations or decisions made by individuals regarding what is right or wrong in human behavior and actions, based on ethical principles.