What causes countries to form a national debt?A.Requiring lawmakers to pass budgets that create a surplusB.Borrowing money repeatedly to cover budget deficitsC.Increasing taxes on the poorest citizens in the countryD.Cutting funding to important programs like the militarySUBMITarrow_backPREVIOUS

Which kind of budget would cause the largest increase in a country's national debt?A.One that decreases taxes and decreases spendingB.One that decreases taxes and increases spendingC.One that increases taxes and increases spendingD.One that increases taxes and decreases spending

If a country wants to decrease its national debt as quickly as possible, what kind of budget will it most likely create?A.One that increases taxes and decreases spendingB.One that decreases taxes and decreases spendingC.One that increases taxes and increases spendingD.One that decreases taxes and increases spending

Governments create budget deficits when they:A.refuse to pay for mandatory spending programs.B.spend more money than they take in through taxes.C.increase taxation without increasing spending.D.cannot agree on a spending bill that creates a federal budget.

Governments borrow because:1 pointTheir tax revenues are not enough to cover their expendituresOf unexpected catastrophes like floods, disease, etcThey are expansionist in nature and must finance a war or pay for its defenceOf entitlement programs like public health and employment insuranceAll of the above

he deficit is what occurs in a given year when government spending is greater than tax revenues while the national debt is the accumulation of budget deficits over time.TrueFalse