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What is public debt?
  • a)
    Revenue generated from taxes
  • b)
    Funds used for private investments
  • c)
    Money borrowed by the government when expenditures exceed revenue
  • d)
    Wealth accumulated by the private sector
Correct answer is option 'C'. Can you explain this answer?
Most Upvoted Answer
What is public debt?a) Revenue generated from taxesb) Funds used for p...
Public debt occurs when a government's planned expenditure surpasses its total revenue, necessitating borrowing from external sources. This borrowing is crucial for financing public projects and services in times of deficit.
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