37) If the economy were in recession, we would expect A) government expenditure to be high and tax revenues to be low causing a large public-sector deficit. B) government expenditure to be high and...

37) If the economy were in recession, we would expect

1. A) government expenditure to be high and tax revenues to be low causing a large public-sector deficit.


2. B) government expenditure to be high and tax revenues to be high so that the government might have a low PSNB.


3. C) government expenditure to be low and tax revenues to be low so that the government could run a public sector surplus.


4. D) none of the above