In the national income accounts, government purchases are goods and services purchased by:
A)the federal government.
B)the federal and state governments.
C)state and local governments.
D)federal, state, and local governments.

Question

Quizplus · Accepted Answer

Government purchases refer to the total amount of goods and services that all levels of government (federal, state, and local) buy in order to provide public services and advance public interest. Therefore, the correct answer is D - federal, state, and local governments.

In the National Income Accounts, Government Purchases Are Goods and Services