When the government has a budget surplus
A)it buys more of its bonds from the public than it sells to the public.
B)it spends more than it receives in tax revenue.
C)private saving is greater than zero.
D)exports are greater than imports.

Question

Quizplus · Accepted Answer

A budget surplus occurs when the government collects more in tax revenue than it spends, allowing it to buy back its bonds from the public.

When the Government Has a Budget Surplus