Question

AVE Pr #2 • As •AS P2 Ez Pi Pi P2E El - ADI 'AD2 AD - - "ADZ - Q1 Q2 + Q2 Qi Y Pra AS, Pra Asr •ASI •AS Pi Ei Pzt Ez Pr. 7 EV Pita TEL 'AD AD Q1 Q2 Y Qq Qi 저 #3 #4

Answer 1

13) Answer is D. #4.

14) Answer is C. rise .

National debt is the sum of total debt to each year taken. It is the sum of budget deficits of all years. So if there is even some budget deficit in a year it will add to national debt and national debt will increase.

So even if budget deficit is same national debt will increase every year by the amount of budget deficit in that year.

15) Answer is False.

Here transfer payments should also be increased.

In expansonary fiscal policy taxes are decreased, government expenditure increasea and transfer payments also increases.

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