Ways of Financing Deficit Budget And Their Effects - SS2 Economics Past Questions and Answers - page 1
How can a deficit budget be financed?
Borrowing
Increasing exports
Reducing taxes
None of the above
What is the effect of a high debt burden?
More resources for social and economic development projects
Limitations on a country's ability to invest in development projects
Reduction in the inflation rate
None of the above
What is debt relief?
A measure taken to reduce the burden of debt on a country
A method to increase the debt burden
A way to reduce taxes
None of the above
What is debt buyback?
A way to reduce the overall debt burden
A method to increase the debt burden
A way to increase taxes
None of the above
What is the disadvantage of debt buyback?
It requires significant financial resources
It has no impact on the debt burden
It increases the debt burden
None of the above
What are the ways to finance a deficit budget?
What is the effect of debt relief on a country's ability to invest in development projects?