Using the data above, indicate whether the government is in surplus or deficit for the following years. Surplus or Deficit Year 1948 1956 1964 1972 1980 In 1964, the national debt by 3. Budget balances and the national debt The following table lists federal outlays, revenues, and GDP for the U.S. economy during several years. Year Revenues (Billions of dollars) Outlays (Billions of dollars) GDP (Billions of dollars) 1948 41.6 29.8 269.2 1956 74.6 70.6 437.5 1964 112.6 118.5 663.6 1972 207.3 230.7 1,238.3 1980 517.1 590.9 2,789.5 Plot the data for revenues and outlays as a percentage of GDP on the following graph, rounded to the nearest percent. Use the purple points (diamond symbol) for outlays and the green points (triangle symbol) for revenues. Note: Plot your points in the order in which you would like them connected. Line segments will connect the points automatically. 25 20 20 15 FEDERAL OUTLAYS AND REVENUES (Percent of GDP) 10 5 ° ? Outlays ❖ ༥– Revenues 1940 1948 1956 1964 1972 1980 YEAR

Using the data above, indicate whether the government is in surplus or deficit for the following years. Surplus or Deficit Year 1948 1956 1964 1972 1980 In 1964, the national debt by 3. Budget balances and the national debt The following table lists federal outlays, revenues, and GDP for the U.S. economy during several years. Year Revenues (Billions of dollars) Outlays (Billions of dollars) GDP (Billions of dollars) 1948 41.6 29.8 269.2 1956 74.6 70.6 437.5 1964 112.6 118.5 663.6 1972 207.3 230.7 1,238.3 1980 517.1 590.9 2,789.5 Plot the data for revenues and outlays as a percentage of GDP on the following graph, rounded to the nearest percent. Use the purple points (diamond symbol) for outlays and the green points (triangle symbol) for revenues. Note: Plot your points in the order in which you would like them connected. Line segments will connect the points automatically. 25 20 20 15 FEDERAL OUTLAYS AND REVENUES (Percent of GDP) 10 5 ° ? Outlays ❖ ༥– Revenues 1940 1948 1956 1964 1972 1980 YEAR

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter31: The Impacts Of Government Borrowing

Section: Chapter Questions

Problem 27P: Assume that the newly independent government of Tanzania employed you in 1964. Now free from British...

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