In the United States, the Largest Source of Funds for Public

question 242

Multiple Choice

In the United States, the largest source of funds for public schools is

• A)the federal income tax.
• B)the property tax.
• C)the consumption tax.
• D)sales taxes.

---

Definitions:

Budget Deficit

A budget deficit occurs when a government's expenditures exceed its revenues during a specific period, leading to the need for borrowing or using saved reserves.

Loanable Funds

The market where savers supply funds to borrowers, influencing interest rates and investment activities.

Crowding Out

A situation in economics where increased public sector spending reduces or eliminates private sector spending.

Budget Deficit

A budget deficit occurs when a government's expenditures exceed its revenues within a specified period, leading to a need for borrowing to finance the shortfall.