Suppose that in 2005 the government collected $240 billion in tax revenue and spent $270 billion, while in 2006 the government revenue increased to $250 billion and its spending increased to $300 billion. If the government had a debt of $300 billion at the beginning of 2005, how much debt would it have by the end of 2006? Select one: a. $400 billion b. $380 billion c. $350 billion d. $320 billion e. $280 billion
Suppose that in 2005 the government collected $240 billion in tax revenue and spent $270 billion, while in 2006 the government revenue increased to $250 billion and its spending increased to $300 billion. If the government had a debt of $300 billion at the beginning of 2005, how much debt would it have by the end of 2006? Select one: a. $400 billion b. $380 billion c. $350 billion d. $320 billion e. $280 billion
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Suppose that in 2005 the government collected $240 billion in tax revenue and spent $270 billion, while in 2006 the government revenue increased to $250 billion and its spending increased to $300 billion. If the government had a debt of $300 billion at the beginning of 2005, how much debt would it have by the end of 2006?
Select one:
a. $400 billion
b. $380 billion
c. $350 billion
d. $320 billion
e. $280 billion
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