How did the US government incur millions of dollars in debt?
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There are 3 types of debt a government can occur (Export Debt), (Import Debt) and (Social Debt).
Export Debt (money owed to the government from another country that isn't paying)
Import Debt (money owed to another country by the government)
Social Debt: This is what I am assuming you are referring (the deficit). The deficit is money borrowed on "future" income from collectible taxes and fees from the governments citizens. They borrow against it (like a credit card). Its money owed to themselves. Its not a true debt in the conventional sense. However if left upaid then the government can't honour future benefits to its citizens and the country would collapse (like Greece and Spain).
MARK BRAINLIEST..
Export Debt (money owed to the government from another country that isn't paying)
Import Debt (money owed to another country by the government)
Social Debt: This is what I am assuming you are referring (the deficit). The deficit is money borrowed on "future" income from collectible taxes and fees from the governments citizens. They borrow against it (like a credit card). Its money owed to themselves. Its not a true debt in the conventional sense. However if left upaid then the government can't honour future benefits to its citizens and the country would collapse (like Greece and Spain).
MARK BRAINLIEST..
aidenhoward:
thanks
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