[Comparing the actual and cyclically adjusted budget deficits in the United States.] The Congressional Budget Office (CBO) provides data on the actual and cyclically adjusted budget deficits. You can find data for the years 1961-2012 using this link: www.cbo.gov/publication/ 43999. Once on that page, click on the link on the left "Tables to Accompany the 2013 Automatic Stabilizers Report" and download the Excel file.

a. The budget deficit or surplus is called "Deficit or Surplus with Automatic Stabilizers" and the cyclically adjusted deficit or surplus is called "Deficit or Surplus without Automatic Stabilizers." Briefly explain why the CBO uses these labels.

b. Graph the budget deficit or surplus and the cyclically adjusted deficit or surplus for these years.

c. Calculate the average surplus or deficit and the average cyclically adjusted surplus or deficit for these years. Which was larger? Briefly explain your result.