In the Calculation of Net National Debt, an Adjustment Is

question 107

Multiple Choice

In the calculation of net national debt, an adjustment is made for the amount that a government owes itself. A government can owe itself when:

• A) it prints money to pay its bills.
• B) it spends money now to be paid back out of future taxes.
• C) it borrows to repay the old government debt.
• D) government agencies with surpluses use the extra funds to buy government debt securities.