A government deficit can affect the circular flow of income because the government spending could drop due to the deficit and the economy could slow down.
<h3>What is a
government spending?</h3>
It refers to the total money spent by the public sector on the acquisition of goods and provision of services such as education, healthcare, social protection, defense etc.
A government budget deficit arises from an excessive government spending and low levels of taxation that don't cover expenditure.
Hence, the government deficit can affect the circular flow of income because the government spending could drop due to the deficit and the economy could slow down.
Therefore. the Option C is correct.
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Answer:
ADJUSTED BOOK BALANCE
Bank balance $59,549 Book balance $61,709
+ Deposit in transit $4,250 Interest earned $33
- Outstanding checks <u>$2,075</u> Bank service fees <u>$18</u>
Adjusted book <u>$61,724</u> <u>$61,724</u>
balance
Jorge should provide feedback from all around the employee.
