Page 108 - Macroeconomics. book docx_Neat

A budget deficit means government revenue is greater than expenditure.

False

Taxes affect disposable income and consumption behavior.

True

A balanced budget means zero government activity.

False

Government spending can help reduce unemployment.
True

A budget surplus occurs when expenditure exceeds revenue.

False

Government regulation helps stabilize markets.

True

Excessive government spending may lead to high public debt.
True

The government sector has no role in economic growth.

False

Numerical MCQ Questions

Q1

108