The US Federal Government Is Unlikely to Default on Its Bond

question 59

Multiple Choice

The U.S. federal government is unlikely to default on its bond payments because

• A) if necessary, it can print the money needed to make payments on time.
• B) its bond payments are insured.
• C) the U.S. federal budget usually runs a surplus, providing ample funds for repaying debt.
• D) of all of these.

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Definitions:

Damages

Compensation or monetary awards given to a party in a lawsuit for losses or injuries suffered as a result of another party's actions or negligence.

Negligence Per Se

Negligence per se is a doctrine in tort law where an act is considered negligent because it violates a statute or regulation.

Shoes

Footwear designed to protect, support, and comfort the human foot while offering various styles and designs for different activities.

Damages

Monetary compensation awarded by a court to a plaintiff for loss or injury as a result of the defendant's wrongful act.