If the federal government's expenditures are less than its tax revenues, then
A) the budget is balanced.
B) a budget surplus results.
C) a budget deficit results.
D) No conclusion can be drawn here regarding the budget surplus or deficit without information regarding government purchases versus other outlays.
Question 2
If real GDP in a small country in 2015 is 8 billion and real GDP in the same country in 2016 is 8.3 billion, the growth rate of real GDP between 2015 and 2016
A) is 3.0.
B) is 3.6.
C) is 3.75.
D) cannot be determined from the information given.
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