Suppose that in 2020 the average citizen's federal tax bill is $11,888 per person,and total federal spending is $13,997 per person.In 2020,the federal government will have
A)a per person budget surplus of $2,109.
B)a per person budget deficit of $2,109.
C)horizontal equity.
D)vertical equity.

Question

Quizplus · Accepted Answer

The federal government will have a per person budget deficit of $2,109 because the total federal spending per person is greater than the average citizen's federal tax bill per person. Therefore, the government will need to borrow funds or use other sources of revenue to cover the difference.

Suppose That in 2020 the Average Citizen's Federal Tax Bill