In a single year, a government collects $40 billion in taxes. In that same year, the government spend $35 on government services. This would create which economic situation?

Budget surplus

Explanation:

In simple words, When income surpasses expenses, a budget surplus is created. Consumers have "savings" instead of a "budget surplus," hence the word is frequently applied to a government's financial situation. A budget surplus indicates that the government's resources are well-managed.

A budget surplus helps to stabilize the economy when it is expanding and undergoing inflation. In this case, tax rates rise in proportion to rising employment as well as income

well considering i can't see the graph, it's probably prices