In the charter of the EU central bank all member countries are required to keep their fiscal deficits below a certain level. This is because all statements are relevant. O it is not fair to tax other countries through inflation tax to finance one country's spending. Okeeping a low fiscal deficit is a commitment to low inflation rate. all governments have incentive to pay their bills by printing more money.

In the charter of the EU central bank all member countries are required to keep their fiscal deficits below a certain level. This is because all statements are relevant. O it is not fair to tax other countries through inflation tax to finance one country's spending. Okeeping a low fiscal deficit is a commitment to low inflation rate. all governments have incentive to pay their bills by printing more money.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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