A federal deficit of $300 billion means that
A)the government has a total debt of $300 billion.
B)government spending is $300 billion a year.
C)the government is spending $300 billion a year more than it is collecting in taxes.
D)the government plans on collecting $300 billion in taxes this year.

Question

Quizplus · Accepted Answer

A federal deficit means that the government is spending more money than it is collecting in taxes. In this case, the deficit is $300 billion, which means the government is spending $300 billion more than it is collecting in taxes.

A Federal Deficit of $300 Billion Means That