A budget philosophy using fiscal policy to achieve the economy's ...

[tatyanajohnson]

A budget philosophy using fiscal policy to achieve the economy's potential GDP, rather than balancing budgets either annually or over the business cycle, is termed:
 a. budget finance.
 b. functional finance.
  c. crowding out.
 d. crowding in.
 e. deficit finance.

Question 2

Juanita worked for a defense contractor in the United States. During the 2008 recession, the government cut spending and Juanita and ninety-nine others were laid off. In such a case, the unemployment Juanita is experiencing is _____.
 a. cyclical
 b. structural
  c. seasonal
 d. frictional
  e. voluntary

[akudia]

Answer to Question 1

b

Answer to Question 2

a

[tatyanajohnson]

TYSM

[kthug]

Gracias!