Year Government Tax Government expenditures Budget Balance Revenues (billions) (billions) 5400 5100 2 5200 5200 3 4800 5600 4 5000 5200 5 5600 4800 Using the above table for Sueppelvania's federal government, a. Calculate the budget balance for each year, Include for each year if it is a budget deficit, budget surplus, or balanced budget and the magnitude. b. If Sueppelvania started year 1 with $900 billion of debt, what is the amount of debt following year 5? 5. Taking account the supply-side effects, what will happen to the following with an increase in the income tax rate: a. Employment? b. Potential GDP? 6. What four possible fiscal policy changes do Gokhale and Smetters consider to meet our social security obligation? 7. Explain what happens to transfer navments and tax revenues during. Focus