Internal ownership of the national debt occurs when U.S.Treasury bonds are purchased by all of the following except
A)Foreign countries that we trade with.
B)State banks.
C)The Federal Reserve System.
D)Individual U.S.citizens.

Question

Quizplus · Accepted Answer

Internal ownership of the national debt refers to ownership of U.S. Treasury bonds by entities within the United States. Therefore, foreign countries that we trade with would not be considered internal ownership. B, C, and D are all examples of internal ownership, as state banks, the Federal Reserve System, and individual U.S. citizens are all located within the United States.

Internal Ownership of the National Debt Occurs When U