The government would be running a budget surplus if

a. tax revenues were less than government spending.

b. government spending were lower than consumer spending.

c. it imported less from abroad than it exported.

d. government spent less than it collected in taxes.

The correct answer is option d.

Explanation:

Budget surplus can be defined as the situation when the income or receipts of the government is higher than the its spending. The main income of the government is tax revenue.

So when the government spending is less than the tax revenue collected, the budget is said to be in surplus.

When the tax revenue is less than the government spending the budget is said to be in deficit.

Option (d) is correct.

Explanation:

When the tax revenue of a nation exceeds the government spending then the nation is running a budget surplus.

Tax revenue is way to finance government spending. Budget surplus tells us about the financial condition of the nations and it indicates about effectiveness in the management of government. Tax revenues are collected from the public and government spending is the amount that is spent to enhance the living conditions of the people through improving medical facilities, infrastructure, better roads, etc.