Question

Which of the following statements is true when considering the expenditures of the U.S. federal government? O A. The expenditures are used for entitlements. B. The expenditures are used for investment in the country's infrastructure. C. The expenditures are used for the purchases of goods and services by the federal government. D. The expenditures are used for all these purposes. select your answer.

Answer 1

The correct answer will be

D. The expenditure are used for all these purposes.

Government spending or expenditure includes all government consumption, investment, and transfer payments. Government acquisition of goods and services intended to create future benefits, such as infrastructure investment or research spending, is classed as government investment (government gross capital formation). So we can say that

Government expenditure of US federal government used for entitlement, for investment in country's infrastructure,for purchases of goods and services by federal government, and so on.