To finance a budget deficit,the government must:

Name: To finance a budget deficit,the government must:
Brand: Quizplus
Rating: 4.8 (55 reviews)

Question

Quizplus · Accepted Answer

To finance a budget deficit, the government typically sells securities. Selling securities is essentially borrowing money from investors who buy the securities, and this provides the government with the funds it needs to cover its spending. Reducing taxes, buying securities, and increasing unemployment rate are not effective ways of financing a budget deficit.

To Finance a Budget Deficit,the Government Must