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    Macroeconomics Study Set 68
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    Exam 13: Fiscal Policy, Deficits, and Debt
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    The Cyclically Adjusted Budget Deficit in an Economy Is Zero
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The Cyclically Adjusted Budget Deficit in an Economy Is Zero

Question 102

Question 102

Multiple Choice

The cyclically adjusted budget deficit in an economy is zero. If this economy goes into recession, then the actual government budget will be


A) balanced.
B) in deficit.
C) in surplus.
D) expanding.

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