In the Short-Run Framework, Budget Deficits Should

Multiple Choice

In the short-run framework, budget deficits should:

A) never be run since they slow economic growth over the long run.
B) never be run since they crowd out investment in the short run.
C) be run on a temporary basis whenever the economy is below potential output.
D) be run on a permanent basis since they can always be financed by printing money.