Which of the following can occur simultaneously?
A) An increase in the national debt and a budget surplus
B) A decrease in the national debt and a balanced budget
C) An unchanged national debt and a budget deficit
D) Positive national debt and a budget surplus
E) A decreasing national debt and a budget deficit.

Question

Quizplus · Accepted Answer

A positive national debt and a budget surplus can occur simultaneously because a country can have existing debt while running a surplus in a given fiscal year, which would allow it to pay down some of the debt.

Which of the Following Can Occur Simultaneously