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Determine if each of the following statements about the standardized employment budget is true or false.
a. The standardized employment budget tells what the budget surplus or deficit would have been if the business cycle had not resulted in automatic stabilizers changing spending or revenue.
b. If the economy were functioning at potential GDP, the actual budget deficit would be equal to the standardized employment budget deficit.
c. Changes to the standardized employment budget deficit tend to be larger and more extreme than changes to the actual budget deficit.
d. During the Great Recession, the U.S. ran a standardized employment budget surplus.
e. The standardized employment budget shows that automatic stabilizers usually fully offset changes in aggregate demand.
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