When the U. S. federal government runs a budget deficit, it borrows money by selling:

Name: When the U. S. federal government runs a budget deficit, it borrows money by selling:
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The U.S. federal government borrows money by selling Treasury bills, notes, and bonds. These are debt securities that are sold to investors who are willing to lend money to the government. The government promises to pay back the principal plus interest at a future date. This is how the government finances its budget deficit.