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What conclusion can be drawn from this graph?

What conclusion can be drawn from this graph?-example-1
User PabloRN
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2 Answers

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Answer:

D) the federal government has almost always spent more than it receives.

User Bitmusher
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The federal budget from 1990 to 2010 Federal law require the budget to be balanced .Therefore ,Federal law require the budget to be balanced is correct .

There are a number of factors that have contributed to the federal budget deficit, including:

Tax cuts: The federal government has cut taxes several times in the past 30 years, which has reduced tax revenue.

Increased spending on social programs: The federal government has increased spending on social programs such as Social Security and Medicare, which has contributed to the budget deficit.

The federal budget deficit has a number of negative consequences, including:

Higher interest rates: The federal government borrows money to finance the budget deficit. This borrowing increases the demand for loanable funds, which can lead to higher interest rates.

Crowding out: The federal government's borrowing can also crowd out private investment. This is because the government is competing with private businesses for loanable funds. When the government borrows more money, there is less money available for private investment.

User Aaron Moodie
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