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JAMB Economics 2016 Objective — Question 5

Question 5 of 40 from the Joint Admissions and Matriculation Board (JAMB) Economics 2016 Objective paper, with the correct answer and a full explanation.

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Which of the following budgets will increase government expenditure?

  • A. Zero base budget
  • B. Surplus budget
  • C. Deficit budgetCorrect
  • D. Balanced budget

Explanation

A deficit budget (spending more than revenue) is used to increase aggregate expenditure in the economy.

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