answersLogoWhite

0


Best Answer

When there is a decrease in taxes

User Avatar

Wiki User

11y ago
This answer is:
User Avatar

Add your answer:

Earn +20 pts
Q: When is the government budget deficit is most likely to rise?
Write your answer...
Submit
Still have questions?
magnify glass
imp
Continue Learning about Economics

Fiscal policy and monetary policy?

fiscal is the governments budget in terms of spending and expenditure. so there can either be a budget deficit or a budget surplus. when there is a budget surplus, government use a contractionary fiscal policy, and when there is a deficit, they use an expansionary fiscal policy. Monetary policy is used to combat an economy growing to quickly and inflation is rising. in most countries this is the Official Cash Rate. There is a tight monetary policy which government can impose if the economy is growing rapidly and this is used to constrict spending within that economy


Which of these is most closely associated with the level of US imports and exports A budget deficit B national debt C trade deficit D inflation rate?

C- the trade deficit which is exactly exports-imports


What is the national deficit?

A deficit is caused when the amount of revenue taken in by a government is less than it spends on its programs. The difference becomes a debt in the form of loans against future revenue, usually promissory notes and bonds. When a city or state is in deficit, it usually requires curtailing public services or reducing public employment. However, the national government is less restricted in its spending because a deficit is covered by borrowing (Treasury Bills and bonds are normally used to finance interim spending anyway). The total of these loans is called the National Debt, and most of it is actually owed to investors in the US. When the US imports more than it exports, the difference is called the "balance of payments" deficit, which is potentially more important because it represents debts to foreign countries (e.g. China). *The US, as with most nations, has the ability to "create" money in the form of currency, and can regulate its debt through control of the money supply. This is usually not a permanent solution because it can decrease the value of the dollar.


What is fiscal policy and how is it different to monetary policy?

Monetary policy refers to any measure that bring about changes in the rate of interest and the supply of money. Fiscal policy is the term used to describe how governments use taxation and government spending to manage the economy. <><> Fiscal policy includes increase or decrease of government expenditures and taxes while monetary policy includes expansion n contraction of money supply. <><> Fiscal policy is the government's budget in terms of spending and expenditure. There can either be a budget deficit or a budget surplus. When there is a budget surplus, the government uses a contractionary fiscal policy, and when there is a deficit, they use an expansionary fiscal policy. Monetary policy is used to combat an economy growing to quickly and inflation is rising. In most countries this is the Official Cash Rate. There is a tight monetary policy which government can impose if the economy is growing rapidly and this is used to constrict spending within that economy


What would most likely decrease the supply of oranges?

a government subsidy

Related questions

Fiscal policy and monetary policy?

fiscal is the governments budget in terms of spending and expenditure. so there can either be a budget deficit or a budget surplus. when there is a budget surplus, government use a contractionary fiscal policy, and when there is a deficit, they use an expansionary fiscal policy. Monetary policy is used to combat an economy growing to quickly and inflation is rising. in most countries this is the Official Cash Rate. There is a tight monetary policy which government can impose if the economy is growing rapidly and this is used to constrict spending within that economy


Which of these is most closely associated with the level of US imports and exports A budget deficit B national debt C trade deficit D inflation rate?

C- the trade deficit which is exactly exports-imports


What Is the single most expensive program in the federal budget?

It is most likely Socal Security or the Defense budget.


What is the national deficit?

A deficit is caused when the amount of revenue taken in by a government is less than it spends on its programs. The difference becomes a debt in the form of loans against future revenue, usually promissory notes and bonds. When a city or state is in deficit, it usually requires curtailing public services or reducing public employment. However, the national government is less restricted in its spending because a deficit is covered by borrowing (Treasury Bills and bonds are normally used to finance interim spending anyway). The total of these loans is called the National Debt, and most of it is actually owed to investors in the US. When the US imports more than it exports, the difference is called the "balance of payments" deficit, which is potentially more important because it represents debts to foreign countries (e.g. China). *The US, as with most nations, has the ability to "create" money in the form of currency, and can regulate its debt through control of the money supply. This is usually not a permanent solution because it can decrease the value of the dollar.


How does the government fund a budget deficit?

The U.S. Government finances a deficit by borrowing money from a couple different places. 1) U.S. Citizens and corporations in the form of bonds. 2) From themselves by borrowing money from other programs such as Social Security or Medicare 3) From other countries on the open market. Currently 30% of US debt is owned by other countries with China owning the most at about $850 billion. Remember all of this money eventually has to be paid back with interest.


Which would be most likely to reduce the US trade deficit?

an increase in the amount of United States exports


What is fiscal policy and how is it different to monetary policy?

Monetary policy refers to any measure that bring about changes in the rate of interest and the supply of money. Fiscal policy is the term used to describe how governments use taxation and government spending to manage the economy. <><> Fiscal policy includes increase or decrease of government expenditures and taxes while monetary policy includes expansion n contraction of money supply. <><> Fiscal policy is the government's budget in terms of spending and expenditure. There can either be a budget deficit or a budget surplus. When there is a budget surplus, the government uses a contractionary fiscal policy, and when there is a deficit, they use an expansionary fiscal policy. Monetary policy is used to combat an economy growing to quickly and inflation is rising. In most countries this is the Official Cash Rate. There is a tight monetary policy which government can impose if the economy is growing rapidly and this is used to constrict spending within that economy


What is thor the dark world's budget?

The production budget has not beeen released by the studio. No one knows yet what the total budget was but it will most likely come out after the movie is released.


The state budget process most often involves which government official?

governor


Which type of graph is most likely to be used to study the parts of a budget?

Pie Graph.


Is the government watching people?

Most likely.


The size of the federal government's most recent annual budget was?

roughly $3.5 trillion