Potential GDP is $12 trillion and if real GDP equaled potential GDP, the budget deficit would be $1 trillion. Real GDP actually equals $14 trillion and the budget surplus is $3 trillion. The economy has a structural ______ and a cyclical ______. A. surplus of $3 trillion; surplus of $2 trillion B. deficit of $1 trillion; surplus of $2 trillion C. deficit of $1 trillion; surplus of $4 trillion D. surplus of $4 trillion; deficit of $1 trillion
