Assume a government that runs consecutive budget deficits and trade surpluses. They decide to implement a new tax policy, resulting in a budget surplus. Everything else equal, what is the impact of that new budget surplus in private investment, private savings, and trade surplus, respectively?   Group of answer choices   Rises, falls, rises   Rises, falls, falls   Falls, rises, rises   Falls, rises, falls

Q: Which types of budget cuts only reduce areas that have overspending? Group of answer choices…

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A: (a) National income = C+I+G yd= I-Tyd=$10-$20yd= -$10 millionY=C+I+GY=20+0.9(-10)…

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Q: f Congress and the president decide an expansionary fiscal policy is necessary, then they should…

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Q: The majority of economists. - budget amendment to the U.S. Constitution because it would be blank.…

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Q: T = 120 + 0.25Y G = 640 IM = 100 + 0.1Y X = 540     a. The trade balance (X – IM) when the…

A: T = 120 + 0.25Y G = 640 IM = 100 + 0.1Y X = 540

Q: C = 20 +.90(Y-T) |= 10 G= 10 Xn = 0 Let's assume taxes = 10, so we have a balanced budget G =T Solve…

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Q: why does the budget require a forecast of the economy? under what circumstances would actual…

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Q: All of the following, except one, would result from expansionary fiscal policy. Which is the…

A: Aggregate demand is the sum of consumption,  investment,  government spending and net export. This…