Which of the following did not contribute to the federal budget surplus in the 1990s?

Question

tax increases resulted in more federal revenue

a strong economy and low unemployment

a decrease in government spending

new budget procedures to help control government spending

Answer 1

The option that did not contribute to the federal budget surplus in the 1990s is a decrease in government spending. While there were efforts to control spending, much of the budget surplus during that period was primarily due to the combination of tax increases, a strong economy with low unemployment, and new budget procedures, rather than significant decreases in government spending.