7
QuizMultiple Choice

Government and the Economy

Question 7 • FL-2106010-M/J Civics B

Buying a government bond is __________.

Answer
A
selling stock to the government
B
paying one’s taxes using the bond format
C
lending money to the government
D
purchasing the opportunity to do business with the government

Explanation

A government bond is a loan made by an investor to the government. The government agrees to repay the amount borrowed, usually with interest, so buying a government bond means lending money to the government.

AI-written and checked against the verified answer.

Previous
Next