Question

A budget surplus means that: A. Government expenditures are greater than revenues in a given year B. Government revenues are greater than expenditures in a given year C. A nation's exports are greater than its imports D. A nation's imports are greater than its exports

Answer 1

Answer:

B. Government revenues are greater than expenditures in a given year

Explanation:

A government budget surplus is when the revenue of the government is higher than its expenditure in a given year.

Tax is one of the sources of government income.

Government spend money on the provision of public goods.

When government expenditures are greater than revenues in a given year, there is a deficit

When expenditure is equal to revenue, there is a balanced budget.

When a nation's exports is greater than its imports, net export is postive.

When a nation's imports are greater than its exports, net export is negative.