If the federal government spends 12% of GDP and collects revenues of 10% of GDP, what is the deficit as a percentage of GDP? A. 2% B. 1% C. 11% D. 12%

SWFT Comprehensive Volume 2019
42nd Edition
ISBN:9780357233306
Author:Maloney
Publisher:Maloney
Chapter27: The Federal Gift And Estate Taxes
Section: Chapter Questions
Problem 4RP
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If the federal government spends 12% of GDP and
collects revenues of 10% of GDP, what is the deficit as
a percentage of GDP?
A. 2%
B. 1%
C. 11%
D. 12%
Transcribed Image Text:If the federal government spends 12% of GDP and collects revenues of 10% of GDP, what is the deficit as a percentage of GDP? A. 2% B. 1% C. 11% D. 12%
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