Actual output exceeds the natural output when

A) the actual budget deficit is above the structural deficit.
B) the actual budget deficit is below the structural deficit.
C) the structural deficit is positive.
D) the structural deficit is negative.

B

Economics

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Active fiscal policy is the main tool used by the Fed for economic stabilization

Indicate whether the statement is true or false

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According to this Application, if the volatility of energy prices led to expectations of declining real GDP, investment spending at that time would tend to decrease

This relationship between the decrease in investment spending and the expected decline in real GDP would be expressed by the A) present value theory. B) liquidity principle. C) accelerator theory. D) real-nominal principle.

Economics