Which of the following ways does the federal government finance its expenditures?

A) tax revenues

B) issuing bonds

C) creating money

D) all of the above

Which of the following contributed to the $455 billion budget deficit in 2008?

A) the recession that started in December 2007

B) the tax cuts in January 2008 that were geared to stimulate the economy

C) the continuing wars in Iraq and Afghanistan

D) All of the above are correct.