Government spending can be financed by all of the following, except:
A)personal income taxes.
B)investment spending.
C)government borrowing.
D)money creation.
E)excise taxes.

Question

Quizplus · Accepted Answer

Investment spending refers to the spending done by firms and households on capital goods and is not directly related to government spending. The other options (A, C, D, E) are all methods by which government spending can be financed.

Government Spending Can Be Financed by All of the Following