Which situation would most likely result in a country forming a large national
debt?
A. A government cuts spending every year on key programs like
health care.
B. A government raises taxes every year on its most profitable
companies.
C. A government borrows money every year to make up for its budget
deficits.
O D. A government is required to submit a budget every year that
creates a surplus.

The situation would most likely result in a country forming a large national debt if a government borrows money every year to make up for its budget deficits. Thus the correct answer is D.

What is debt?

The national debt is a situation in which the government owns some money from another on the high rate of interest with the purpose of developing of infrastructure and providing better facilities in the budget to the citizens.

The budget deficiency is the situation when the expenses overlap the revenue. When the government is not collecting taxes from the citizens their expenses become high.

In this situation, they borrow funds from international banks which causes large national debts to the country.

Therefore, option D The government borrows money every year to make up for its budget deficits is appropriate.

Learn more about budget deficits, here:

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