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Is there ever a sound economic reason for governments to spend more than they collect in taxes and borrow the difference?
Wiki User
∙ 11y ago
Yes, if the need is great and the spending will result in increased earning and a greater ability on the part of the country's people to pay the taxes in the future.
Wiki User
∙ 11y ago
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Can state governments borrow money?
yes state can borrow money from union and even outside the country
How do governments borrow money?
Governments raise most their funds through taxes and other revenue, and occasionally tax revenue is not enough for pay for the government taxes so as a result the government must borrow money by issuing bonds. A bond is a certificate stating that the government has borrowed a certain sum of money from the owner.
From whom does the government borrow money?
The UK government in common with many first-world governments issue "gilt bonds" into the financial markets which return a fixed guaranteed interest.from the federal reserve.
What concept did Alfred Marshall borrow from the marginalists?
In his development of economic theory, Alfred Marshall included the concept of demand, the aggregate effect of consumers who desire products or services.
Which situation most likely results when the government raises interest rates to Banks?
Fewer citizens borrow money to buy houses or cars
Both the national and the state governments have the power to collect taxes and to borrow money These are a good example of what?
Concurrent powers
Both the national and the state governments have the power to collect taxes and to borrow money. These are a good example of which of the following?
to be smarter
What powers are exercised simultaneously by the national and state governments?
-enforce laws -establish courts -borrow money -secure the population -build an infrastructure -collect taxes -make laws
Why do governments of castal west African countries have to borrow money?
Governments in coastal West African countries may need to borrow money to finance infrastructure projects, social programs, or to cover budget deficits. Economic challenges or revenue constraints can also lead to borrowing. It allows governments to continue operating and investing in development despite limited fiscal resources.
Can state governments borrow money?
yes state can borrow money from union and even outside the country
Why do governments of coastal West African countries have to borrow money?
they dont have any
What are two Powers the US and Florida governments share?
Borrow money and levy taxes
Difference between lend and borrow?
they are the same
What are two powers that the U.S. and the Florida governments share?
Borrow money and levy taxes
Which of the powers is not a power granted to the congress coin money lay and collect taxes establish postal service borrow money or all of the above?
American Gov't they are collect taxes
How do governments borrow money?
Governments raise most their funds through taxes and other revenue, and occasionally tax revenue is not enough for pay for the government taxes so as a result the government must borrow money by issuing bonds. A bond is a certificate stating that the government has borrowed a certain sum of money from the owner.
What do the national and state governments have in common?
People of common traits with the ability to govern
