The domestic deficit is the:
A) sum of domestically derived revenue and domestic government expenditure.
B) sum of domestically derived revenue and total government expenditure.
C) difference between domestically derived revenue and total government expenditure.
D) difference between domestically derived revenue and domestic government expenditure.

Question

Quizplus · Accepted Answer

The domestic deficit is calculated by subtracting domestic government expenditure from domestically derived revenue. Therefore, the correct choice is D. Choices A and B add government expenditure to domestically derived revenue, which is not correct. Choice C subtracts total government expenditure from domestically derived revenue, which is too broad and not specific to domestic government expenditure.

The Domestic Deficit Is The