When government spending exceeds government revenues during a given period of time
A) the national debt must be decreasing. B) a budget surplus exists.
C) Congress is obliged to raise taxes. D) a budget deficit exists.
Question 2
Assuming all else equal, if the production technology available to a nation improves, its aggregate production function:
A) shifts inward. B) becomes vertical.
C) shifts upward. D) becomes horizontal.
