1. What, if anything, should be done about the deficit? Would you increase revenue? If so,...

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Economics

1. What, if anything, should be done about the deficit? Wouldyou increase revenue? If so, what taxes would you adjust? Shouldexpenditures be slashed, what should be decreased? By how much?

2.Which has a larger effect on aggregate demand: an increase ingovernment expenditure or an equal sized decrease in taxes?

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Answer 1 The level of government deficit can be reduced by either reducing the level of government expenditure or by increasing the level of tax revenue of the government Yes the government    See Answer
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