If the federal government's expenditures are less than its tax revenues,then
A)a budget surplus results.
B)a budget deficit results.
C)the budget is balanced.
D)No conclusion can be drawn here regarding the budget surplus or deficit without information regarding government purchases versus other outlays.

Question

Quizplus · Accepted Answer

If the federal government's expenditures are less than its tax revenues, it means it has collected more revenue than it has spent, resulting in a budget surplus.

If the Federal Government's Expenditures Are Less Than Its Tax