To make up for a shortfall in its annual budget, the government must:

Question

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When the government faces a shortfall in its annual budget, it typically issues Treasury bonds to raise funds. Treasury bonds are a form of government debt, where investors lend money to the government in exchange for regular interest payments and the promise of return of their principal investment at maturity. By issuing Treasury bonds, the government can generate additional revenue to cover its budget deficit without having to reduce its total public debt or sell government stocks.

To Make Up for a Shortfall in Its Annual Budget