government borrowing

Definition

Money borrowed by the government through issuance of securities, bonds and bills. The government borrows money to make up the difference between revenues and expenditures. The money comes from lenders within the country and from foreign lenders.

Use this term in a sentence

You may want to give out some government borrowing because you know that they will pay you back eventually no matter what.

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The senator was in a tough position because his constituents wanted tax cuts but not reduced spending, resulting in higher government borrowing to assure both.

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The United States has a large banking system that utilizes government borrowing in its' economy, allowing people to get fast money and the banks to collect the interest.

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