MACRO ECON 6
6th Edition
ISBN: 9780357689820
Author: MCEACHERN
Publisher: CENGAGE L
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Chapter 12, Problem 10P
To determine
Long-term effects of deficit spending.
Concept Introduction: Deficit spending occurs whenever a government's expenditures exceed its revenues over a fiscal period, creating or enlarging a government debt balance. One of the reasons for deficit spending is the conscious attempt to stimulate the economy by lowering tax rates or increasing government expenditures.
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