Asked by
Emily Prichard
on Nov 16, 2024
Verified
A government may use deficit financing to smooth tax rates over time.
Deficit Financing
The practice of funding government spending by borrowing rather than from taxation, leading to a budget deficit.
Tax Rates
The percentages at which income, property, and sales are taxed by governments, varying for different levels of income or value.
- Evaluate the consequences of government budget deficits and surpluses on the sustainability of economic expansion and the fluctuation of interest rates over time.
Verified Answer
SS
Learning Objectives
- Evaluate the consequences of government budget deficits and surpluses on the sustainability of economic expansion and the fluctuation of interest rates over time.