Which of the Following Is an Accurate Statement About the Relative

Multiple Choice

Which of the following is an accurate statement about the relative size of government purchases and government spending?

A) Because spending is the same as purchasing, the measures must be the same.
B) Purchases will be greater than spending because of deficit and surplus adjustments.
C) Spending includes transfer payments like social security, but purchases do not.
D) Neither includes provision of government services by contract with private firms.