Government expenditures does not include
A) state and local spending.
B) federal non-defense spending.
C) transfers.
D) federal defense spending.
E) government investment.

Question

Quizplus · Accepted Answer

Transfers are payments made by the government that do not involve the purchase of goods or services. They are payments made to individuals or other governments such as Social Security, Medicare, and Medicaid. Therefore, transfers do not fall under the government expenditures category.

Government Expenditures Does Not Include