The cyclical deficit is the portion of the deficit
A. created by fluctuations in real GDP.
B. that is the result of nondiscretionary federal spending.
C. that would exist if the economy were at potential real GDP.
D. the result of discretionary federal spending.
Answer:A
The cyclical deficit is the portion of the deficit
A. created by fluctuations in real GDP. B. that is the result of nondiscretionary federal spending. C. that would exist if the economy were at potential real GDP. D. the result of discretionary federal spending.