Define and give an example of the following terms: government expenditure, tax incidence, and budget surplus.

Here are the answers to questions 8, 9, and 10:

8. All purchases made by public owned agencies constitute government expenditure. Public owned agencies are part of the government, and their spending on goods and services is classified as government expenditure. A. Government expenditure

9. The issue of who really bears the tax burden and to what extent is refers to tax incidence. Tax incidence is the analysis of how the burden of a tax is distributed among different economic agents. A. Tax incidence

10. A budget which takes more money out of the economy in the form of taxes than it puts back through spending is in surplus. A budget surplus occurs when government revenue (taxes) exceeds government expenditure. D. In surplus