9. Figure 15-9 shows the actual budget deficit and the cyclically adjusted budget deficit as a percentage

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9. Figure 15-9 shows the actual budget deficit and the cyclically adjusted budget deficit as a percentage of GDP in the United States since 1970. Assuming that potential output was unchanged, use this figure to determine in which years since 1990 the government used expansionary fiscal policy and in which years it used contractionary fiscal policy?

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Essentials Of Economics

ISBN: 9781429218290

2nd Edition

Authors: Paul Krugman, Robin Wells, Kathryn Graddy

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