Which of the Following Measures Is Suitable for the Balance

Multiple Choice

Which of the following measures is suitable for the balance of payments problems?
-Deflation

A) A severe and fundamental deficit
B) A temporary balance of payments surplus
C) A moderate surplus arising from the economy operating with a low level of aggregate demand
D) A mild deficit that is expected to disappear as the world economy recovers from recession
E) A large and persistent surplus because of the country's much lower underlying rate of inflation
F) A moderate deficit associated with a too rapid recovery from recession.