The Immediate Primary Cause of the Swing from Federal Budget

Multiple Choice

The immediate primary cause of the swing from federal budget surpluses in 2000 and 2001 to a budget deficit in 2002 was

A) the tax cuts of 2001.
B) spending increases relating to the wars in Afghanistan and Iraq.
C) the recession of 2001.
D) the acceleration of inflation in 2001 and 2002.