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What are the effects of the business cycle on the government's budget? automatically tax revenues and government outlays, resulting in a smaller deficit. recession boom increases decreases

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter24: Fiscal Policy

Section: Chapter Questions

Problem 3P

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Question

What are the effects of the business cycle on the
government's budget?
A
automatically
tax
revenues and
government outlays,
resulting in a smaller deficit.
recession
boom
increases
decreases

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