Government usually

Question

Government usually

Quizplus · Accepted Answer

Government usually spends more than it receives in revenue, resulting in a budget deficit, which creates a demand for funds. This means that the government is a net demander of funds. Government borrowing can come in the form of issuing bonds, and it typically borrows from the public (both individuals and institutions) rather than financial institutions directly. Therefore, options A and B are not accurate. Option C is also not accurate, as the government is typically a net demander of funds due to its budget deficit.

Government Usually