If government adhered strictly to an annually balanced budget,the government's budget would

A) vary in a countercyclical fashion.
B) tend to destabilize the economy.
C) have no impact upon domestic output and employment.
D) tend to stabilize the economy.

Annually Balanced Budget

A budgeting approach where the government's projected revenues and expenditures are equal within a one-year period.

Countercyclical

Economic policies or measures intended to mitigate the effects of recessions by stimulating economic activity during downturns.

Destabilize

To cause a system, government, or structure to become unstable, potentially leading to disorder, chaos, or downfall.