The public debt is
A) an excess of government spending over government revenues during a given time period.
B) a situation in which the government's spending is exactly equal to the total taxes and other revenues it collects during a given time period.
C) the total value of all outstanding federal government securities.
D) all federal government debt irrespective of who owns it.

Question

Quizplus · Accepted Answer

The public debt is the total value of all outstanding federal government securities, such as Treasury bonds, bills, and notes. It represents the cumulative amount of money that the government has borrowed but has yet to pay back. Option A refers to the budget deficit, which is one factor contributing to the public debt. Option B describes a balanced budget, which means that there is no deficit or surplus, and thus, no new debt is incurred. Option D is incorrect because not all federal government debt counts towards the public debt, only those securities issued to the public.

The Public Debt Is