Multiple Choice
Which of the following is not true regarding the use of the budget surplus to increase government spending levels?
A) A greater role for government in the economy is undesirable.
B) Increased spending would put downward pressure on the price level.
C) Increased spending would increase aggregate demand.
D) A projected surplus may never materialize and increased spending would just increase the deficit.
Correct Answer:
Verified
Correct Answer:
Verified
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