After an economy begins to recover, suppose that the Fed quickly raises interest rates back to the level seen before the recession in order to prevent inflation from occurring. Which type of Fed policymaker would be more likely to have taken this action?

When the government's expenditures exceed its tax revenues, the budget

A) has a deficit and the national debt is increasing. B) has a surplus and the national debt is increasing. C) is balanced and the national debt is increasing. D) has a deficit and the national debt is decreasing. E) None of the above because by law the government's expenditures cannot exceed its tax revenue.

The official poverty-line income is adjusted annually for _____

a. income taxes b. unemployment compensation benefits c. house rents d. inflation e. increases in health-care costs