If the government's expenditures exceeded its receipts, it would likely
A)lend money to a bank or other financial intermediary.
B)borrow money from a bank or other financial intermediary.
C)buy bonds directly from the public.
D)sell bonds directly to the public.

Question

Quizplus · Accepted Answer

When a government's expenditures exceed its receipts, it typically needs to borrow money to cover the deficit. One common way to do this is by issuing (selling) bonds directly to the public, which is essentially a way of borrowing money from investors who buy the bonds.

If the Government's Expenditures Exceeded Its Receipts, It Would Likely