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The U.S. government is having no trouble borrowing to cover its current deficit.
Under normal circumstances, borrowing to cover operating costs is not sound policy.
The U.S. government is having no trouble borrowing to cover its deficit.
Slower growth means higher borrowing to cover a bigger budget deficit.
An advertisement it has created attacks Mr. Perry for raising spending in Texas and borrowing to cover deficits.
The difference is that state governments are generally prohibited by their constitutions from borrowing to cover deficits.
Similar(33)
Most state and local governments are not allowed to borrow to cover shortfalls.
He said he would not borrow to cover operating expenses, as the state previously did.
Without an increase, the government soon could not borrow to cover its obligations.
"We also learned in 1975 not to borrow to cover operating deficits," Mr. Ravitch said.
The town budgeted for $10 million next year and intends to borrow to cover the rest, Mr. Mastromarino said.
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