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Why Does The Federal Government Borrow?

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Why Does The Federal Government Borrow?
1. Identify the weaknesses in each strategy. The weakness in each strategy is everyone is robbing Peter to pay Paul. No person has a good budget plan on how to save money instead of spending it. On the other hand they all are trying to take money from somewhere which will decease that budget to pay for something. However, nickel and dime employee are all bad signs of budgeting, because you get what you pay for, meaning you don’t take care of your employees they won’t take care of you. 2. Which strategies are the most dangerous least? I would have to say fudging the number, because now you're committing a crime. Why? Because first of all your lying and falsifying documents which will always come back to haunt you. 3. Provide a recent example of each strategy. …show more content…
If revenues are greater than spending, the result is a surplus. But if government spending is greater than tax collections, the result is a deficit. The federal government then must borrow money to fund its deficit spending”. Tucker, Jasmine: Citing Sources: (https://www.nationalpriorities.org/borrowing).
Why Does the Federal Government Borrow?
“The size of a budget deficit in any given year is determined by two factors: the amount of money the government spends that year and the amount of revenues the government collects in taxes. Both of these factors are affected by the state of the economy as well as by the tax and spending policies made each year in the federal budget process”. Tucker, Jasmine: Citing Sources: (https://www.nationalpriorities.org/borrowing).
1. Delay maintenance and replacement of assets and rely

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