Suppose that in 2012 the average citizen's federal tax bill is $11,888 per person,and total federal spending is $13,997 per person.In 2012,the federal government will have
A) a per person budget surplus of $2,109.
B) a per person budget deficit of $2,109.
C) horizontal equity.
D) vertical equity.

Question

Quizplus · Accepted Answer

If the average citizen's federal tax bill is $11,888 per person and total federal spending is $13,997 per person, the federal government will have a per person budget deficit of $2,109. This means that the government is spending more than it is collecting in taxes, resulting in a deficit. Horizontal equity and vertical equity are not relevant to this question.

Suppose That in 2012 the Average Citizen's Federal Tax Bill