Multiple Choice
A balanced budget occurs when
A) the national debt is reduced to zero dollars.
B) a budget deficit during one year is matched by a budget surplus in the next year.
C) transfer payments equal tax revenues.
D) government expenditures equal tax revenues.
E) the deficit-GDP ratio equals one.
Correct Answer:

Verified
Correct Answer:
Verified
Q13: If the economy is on the downward-sloping
Q14: Income tax revenues rise as income tax
Q15: The deficit that exists when the economy
Q16: Suppose government spending rises by $120 billion.It
Q17: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6439/.jpg" alt=" -Refer to Exhibit
Q19: A "flat tax" is another term for
Q20: The lag between an increase in government
Q21: Some economists believe that higher marginal income
Q22: Tax revenues equal the (average)tax rate multiplied
Q23: Define the term budget deficit (as it