Question: Questions are below: Question 5 {10 points] At the beginning of 2019. a government had a total debt of $540 billion dollars. It ended 2019
Questions are below:
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Question 5 {10 points] At the beginning of 2019. a government had a total debt of $540 billion dollars. It ended 2019 with a $16 billion dollar budget surplus. In 2020. it experienced a budget deficit of 5? billion dollars. What is the total debt of the government equal to at the end of 2020? O a) $573 billion 0 bl $553 billion 0 cl $531 billion 0 d] $51? billion Question 6 {10 points] Suppose that the economy is already operate at potential GDP. Meanwhile, government budget deficits are increasing aggregate demand. If the central bank wants to keep inflation rates stable. what will it need to do? 0 a) contractionary monetary policy 0 b} expansionary monetary policy 0 c} contractionary fiscal policy 0 d] expansionary fiscal policy
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