Q974
Government spending, if it exceeds federal government tax revenues then it is classified as
A.
Federal Reserve
B.
federal budget
C.
budget surplus
D.
budget deficit
AnswerAnswer: Option D
Solution
Answer: Option D
Solution:
Government spending, if it exceeds federal government tax revenues then it is classified as budget deficit. A budget deficit is a financial loss for during a period where expenses exceed revenues. This concept is often used in business but more commonly used to refer to governmental spending in excess of revenues collected.