When is a budget surplus created?
A) when the government sells more bonds than it buys back
B) when the government spends more than it receives in tax revenue
C) when private savings are greater than zero
D) when the government spends less than the tax revenue

Question

Quizplus · Accepted Answer

A budget surplus is created when the government spends less than the tax revenue it receives. This means that the government is bringing in more money than it is spending, resulting in a surplus.

When Is a Budget Surplus Created