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3 May, 10:05

Which of these contributes to a budget deficit?

Buying bonds and decreasing spending on federal programs

Decreasing taxes and increasing spending on federal programs

Increasing taxes and buying bonds

Decreasing spending on federal programs and increasing taxes

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Answers (1)
  1. 3 May, 11:46
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    It would be "Decreasing taxes and increasing spending on federal programs" that contributes to a budget deficit, since this means that more revenue is "going out" than "coming in".
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