The national debt is a stock of IOUs created by the summation of annual deficit and surplus flows.
The national debt is the accumulated debt of the federal government.

Question

Quizplus · Accepted Answer

The national debt is the total amount of money that the government owes to its creditors, including individuals, corporations, and foreign governments. It is composed of the accumulated deficits and surpluses over time, meaning it is a stock variable rather than a flow variable. Therefore, statement A is true.

The National Debt Is a Stock of IOUs Created by the Summation