Chapter1: Making Economics Decisions
Section: Chapter Questions
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
Transcribed Image Text:"How might large federal deficits affect future economic
growth?"
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Step 1
Federal deficit refers to the amount by which a government's spending exceeds its revenue in a given fiscal year. In other words, it's the difference between the amount of money the government takes in (revenue) and the amount it spends (expenditures) over a set period of time, usually a year.
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