Determine the state of the budget (in deficit, in balance, in surplus), if: Government spending on the economy is 5000 monetary units, while rate of taxes incomes is 7000 monetary units. Public transfers are purchased in the amount of 1100 monetary units. The national debt is 9000 monetary units, so the State spends 10% per annum to pay this loan off.
Determine the state of the budget (in deficit, in balance, in surplus), if: Government spending on the economy is 5000 monetary units, while rate of taxes incomes is 7000 monetary units. Public transfers are purchased in the amount of 1100 monetary units. The national debt is 9000 monetary units, so the State spends 10% per annum to pay this loan off.
Chapter12: The Public Sector
Section: Chapter Questions
Problem 2SQ
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Determine the state of the budget (in deficit, in balance, in surplus), if:
- Government spending on the economy is 5000 monetary units, while rate of taxes incomes is 7000 monetary units.
- Public transfers are purchased in the amount of 1100 monetary units.
- The national debt is 9000 monetary units, so the State spends 10% per annum to pay this loan off.
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