In the United States we have a only few laws for the states to obey. Therefore, in contrast to the federal budget, the budgets of the individual states-------
A. have no effect on aggregate demand.
B. are mandated that the Unemployment can be cured by expansionary monetary and fiscal policy on a long-run basis in the individual state but not in all the states.
C. are required by law to stay in balance, or fairly close to balance.
D. can be kept in balance during recession even without cuts in services or tax increases