Asked by
Trinity Costa
on Oct 13, 2024Verified
If we passed a constitutional amendment requiring a balanced budget every year,this would probably
A) make an existing recession worse.
B) bring us out of a recession.
C) create inflation.
D) have no economic impact.
Constitutional Amendment
A formal change or addition to the constitution, requiring a specific procedure for proposal and ratification as outlined in the constitution itself.
Existing Recession
A period of temporary economic decline during which trade and industrial activity are reduced, already currently in place.
Balanced Budget
A Balanced Budget occurs when total revenues equal total expenses within a specific period, indicating financial stability without surplus or deficit.
- Understand the role of government spending, taxation, and budget policies in economic stabilization.
Verified Answer
TF
Learning Objectives
- Understand the role of government spending, taxation, and budget policies in economic stabilization.