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Finance 11 Online
UsArmy3947:

Please check my answer.

UsArmy3947:

Imagine the federal government has a national debt of $10.2 trillion. Congress's budget for the coming year includes spending projections of $4.2 billion. Tax revenue projects $3.8 billion. Which will be the most likely consequence? A. The national debt will decrease. B. The national debt will increase.

UsArmy3947:

I believe it's A

dude:

Why do you believe A?

UsArmy3947:

I googled the answer for the exact question... different answers and it said expenses will decrease

justasoftie:

Well, look at you being all nifty. Well, besides of the fact you googled, do you have any other reasons why you would think it would be A?

UsArmy3947:

Nope

justasoftie:

If the tax revenues were higher, I do believe the debt would decrease.

UsArmy3947:

The national debt will decrease. The national debt will increase. Personal incomes will go down. Unemployment programs will be cut.

UsArmy3947:

^ these are all the options

justasoftie:

I think it would be A or C

UsArmy3947:

Which one would you lean towards more?

justasoftie:

Probably A because the incomes would not go down, just their spending money

UsArmy3947:

Agreed, thanks

justasoftie:

No problem.

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