Debt ceilings are designed to
A)Reduce the deficit.
B)Balance the federal budget.
C)Specifically reduce the external debt.
D)Do nothing since the Supreme Court held them unconstitutional in 1985.

Question

Quizplus · Accepted Answer

Debt ceilings are designed to limit the amount of public debt the government can accumulate. By controlling the amount of debt, it can help reduce the deficit by limiting the government's ability to spend beyond its means. However, debt ceilings do not directly balance the federal budget or reduce the external debt. Furthermore, debt ceilings have not been held unconstitutional by the Supreme Court.

Debt Ceilings Are Designed to