TRUE/FALSE. Write 'T' if the statement is true and 'F' if the statement is false.

)

41) If the federal government balanced its budget, its tax revenues would be equal to its

expenditures.

42) Interest on the government debt is an example of uncontrollable fiscal spending.

43) According to Keynes, the goal of macroeconomic policy is not to balance the budget but

to achieve equilibrium at full employinent.

44) Unlike the classical economists, Keynes believed that the economy would automatically

adjust to full employment.

45) The impact of the multiplier effect depends on the size of the initial change in

expenditures.