Suppose that the federal budget is balanced when GDP is at potential GDP. If equilibrium GDP falls below potential

A) government transfer payments will be rising and tax receipts will be falling.
B) this will result in a current budget deficit.
C) the cyclically adjusted budget will be balanced.
D) All of the above are correct.

D

Economics

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Assume that all of the inputs used in a particular perfectly competitive industry can be increased without bidding up their prices. The long run supply curve for that industry will be: a. vertical

b. upward sloping. c. horizontal. d. downward sloping.

Economics

The vertical distance between the TC curve and TVC curve is equal to:

A. ATC B. AVC C. TFC D. MC

Economics