When the Government Has a Budget Surplus, the Surplus

question 4

Multiple Choice

When the government has a budget surplus, the surplus

• A)is subtracted from private saving.
• B)contributes to financing investment.
• C)crowds- out private saving.
• D)increases the real interest rate.
• E)decreases the demand for loanable funds.

---

Definitions:

Informal Settings

Environments or situations characterized by a casual, unofficial, or unstructured nature, often contrasting formally organized settings.

Formal Settings

Environments or situations characterized by structured, regulated operations and behaviors, often found in organizational or institutional contexts.

Individual Feedback

Personalized responses or evaluations provided to an individual regarding their performance, behavior, or work, intended for their professional growth or improvement.

Verbally

Pertaining to or involving the use of words, especially spoken words, in communication.