2168:
income in taxes, fees, and other charges. This added purchasing power, when spent, provides markets for private production, inducing producers to invest in additional plant capacity, which will form part of the real heritage left to the future. This is in addition to whatever public investment takes place in infrastructure, education, research, and the like. Larger deficits, sufficient to recycle savings out of a growing gross domestic product (GDP) in excess of what can be recycled by profit-seeking private investment, are not an economic sin but an economic necessity. Deficits in excess of a gap growing as a result of the maximum feasible growth in real output might indeed cause problems, but we are nowhere near that level.
2480:
2100:
60:
627:
1738:
2189:, states that because households anticipate that current public deficit will be paid through future taxes, those households will accumulate savings now to offset those future taxes. If households acted in this way, a government would not be able to use tax cuts to stimulate the economy. The Ricardian equivalence result requires several assumptions. These include households acting as if they were infinite-lived dynasties as well as assumptions of no uncertainty and no liquidity constraints.
1657:
2570:
divided them into two categories: expenditure-based plans, consisting mostly of spending cuts, and tax-based plans, consisting mostly of tax hikes." They suggest that paying down the national debt in twenty years is possible through a simplified income tax policy while requiring government officials to enact and follow a balanced budget with additional education on government spending and budgets at all levels of public education. (Alesina, Favor & Giavazzi, 2018).
596:, and there is also a private sector financial surplus due to household saving exceeding business investment, then by definition, there must exist a government budget deficit so all three net to zero. The government sector includes federal, state and local governments. For example, the U.S. government budget deficit in 2011 was approximately 10% GDP (8.6% GDP of which was federal), offsetting a capital surplus of 4% GDP and a private sector surplus of 6% GDP.
1720:, measures the difference between government spending and revenues over the very long term, typically as a percentage of gross domestic product. The fiscal gap can be interpreted as the percentage increase in revenues or reduction of expenditures necessary to balance spending and revenues in the long run. For example, a fiscal gap of 5% could be eliminated by an immediate and permanent 5% increase in taxes or cut in spending or some combination of both.
604:
product between the third quarter of 2007 and the second quarter of 2009, which was when the financial deficit of US government (federal and state) reached its peak...No fiscal policy changes explain the collapse into massive fiscal deficit between 2007 and 2009, because there was none of any importance. The collapse is explained by the massive shift of the private sector from financial deficit into surplus or, in other words, from boom to bust."
448:
2598:. Nevertheless, the threat of inflation leads creditors to demand higher and higher rates. Inflation thus becomes a decoy that gives governments time but is then paid for in the form of permanently penalizing rates. In the American model, however, inflation remains an option that is often sought. In the European model, the declared choice is price stability in order to ensure the durability of the euro.
2675:
fiscal year and at least the following four years. A congressional budget resolution is a non-binding resolution passed by both the House of
Representatives and the Senate that sets spending and revenue targets for the upcoming fiscal year and at least the following four years. It serves as a blueprint for Congress as it considers budget-related legislation.
2364:(under the law) political power. Form of the state budget can be influenced by political instability (higher frequency of elections), political orientation of those possessing political power or by the way of doing budgetary process (degree of cooperation between authorities), which is examined in a field called
2670:
In terms of entitlement programs, changes to these programs could have significant implications for individuals and families that rely on them for support. For example, raising the retirement age for Social
Security could have a disproportionate impact on low-income individuals who are more likely to
2662:
There are also ongoing debates regarding entitlement programs, such as Social
Security and Medicare, which account for a significant portion of federal spending. Some policymakers have proposed changes to these programs, such as raising the retirement age or means-testing benefits, in order to reduce
2633:
Government
Efficiency: Improving government efficiency and reducing waste can help reduce deficits. This can include streamlining government programs and services, reducing bureaucracy, and implementing cost-saving measures. However, these policies can be difficult to implement and may face political
2621:
Taxation Policy: The U.S. government has implemented various tax policies to address budget deficits, such as increasing taxes on high-income earners and corporations. However, tax policies can have significant political and economic implications, and their effectiveness in reducing deficits is often
2412:
is variable, that measures if the major budgetary powers have been allocated to the
Minister of Finance ("delegation"), if the role of the Minister of Finance is to enforce pre-existing deal between other ministers ("commitment"), if spending decisions are made without discussion with other ministers
2329:
may influence government budget both directly and indirectly and its influence on budget balance is dubious, similar to inflation. Budget may be directly affected via budgetary items, for instance by higher revenues from capital gains tax or wealth tax, or indirectly via second-round effects of asset
2167:
This fallacy seems to stem from a false analogy to borrowing by individuals. Current reality is almost the exact opposite. Deficits add to the net disposable income of individuals, to the extent that government disbursements that constitute income to recipients exceed that abstracted from disposable
1723:
It includes not only the structural deficit at a given point in time, but also the difference between promised future government commitments, such as health and retirement spending, and planned future tax revenues. Since the elderly population is growing much faster than the young population in many
2788:
2682:
Pay-as-you-go (PAYGO) requirements are statutory budget-control measures that require new tax or mandatory spending legislation to be deficit-neutral over specified periods. This means that any increase in the deficit resulting from new legislation must be offset by other changes in law that reduce
2674:
The
Congressional Budget Act of 1974 established an internal process for Congress to formulate and enforce an overall plan each year for acting on budget legislation. This process includes the development of a congressional budget resolution, which sets spending and revenue targets for the upcoming
2666:
The implications of these policy solutions and legislation are complex and multifaceted. For example, the Budget
Control Act of 2011 has led to reductions in federal spending that have had a significant impact on various programs and services. While this has helped to reduce the federal deficit, it
2569:
According to
Alesina, Favor & Giavazzi (2018), "we recognized that shifts in fiscal policy typically come in the form of multiyear plans adopted by governments with the aim of reducing the debt-to-GDP ratio over a period of time-typically three to four years. After reconstructing such plans, we
2552:
Every year, the government must pay debt service payments on their overall public debt. These payments include principal and interest payments. Occasionally, the government has the opportunity to refinance some of their public debt to afford them lower debt service payments. Doing this would allow
2654:
One such policy solution is the Budget
Control Act of 2011, which established caps on discretionary spending and created a mechanism for automatic spending cuts in the event that those caps were exceeded. This act was intended to reduce the federal deficit by $ 2.1 trillion over a ten-year period,
2527:
If a reduction in a structural deficit is desired, either revenue must increase, spending must decrease, or both. Taxes may be increased for everyone/every entity across the board or lawmakers may decide to assign that tax burden to specific groups of people (higher-income individuals, businesses,
2133:
Large long-term loans are risky for the lender, and therefore commanded high interest rates. To reduce their borrowing costs, governments began to issue bonds that were payable to the bearer (rather than the original purchaser) so that the lenders could sell on some or all of the debt to someone
2642:
It is important to note that these policy solutions can have significant implications for the economy and society, and their effectiveness in reducing deficits may vary depending on various factors, such as economic conditions and political climate. It is also important to consider the potential
2625:
Fiscal Policy: The government can use fiscal policy to increase or decrease government spending and influence the economy. This can include increasing government spending to stimulate economic growth during a recession or decreasing spending during times of economic expansion to reduce inflation
2230:, either gross (without effect of the inflation) or net, is used as a wider measure of government actions rather than measure of government deficit. Nevertheless, government generally set their yearly budget aims in flow terms (deficits) rather than in stock terms (debts). This is partly because
2192:
Also, for
Ricardian equivalence to apply, the deficit spending would have to be permanent. In contrast, a one-time stimulus through deficit spending would suggest a lesser tax burden annually than the one-time deficit expenditure. Thus temporary deficit spending is still expansionary. Empirical
2171:
Even the analogy itself is faulty. If General Motors, AT&T, and individual households had been required to balance their budgets in the manner being applied to the Federal government, there would be no corporate bonds, no mortgages, no bank loans, and many fewer automobiles, telephones, and
1185:. If the government issues its own currency, MMT tells us that the level of taxation relative to government spending (the government's budget deficit or surplus) is in reality a policy tool that regulates inflation and unemployment, and not a means of funding the government's activities per se.
1096:
add net financial assets to the private sector. This is because a budget deficit means that a government has deposited, over the course of some time range, more money and bonds into private holdings than it has removed in taxes. A budget surplus means the opposite: in total, the government has
603:
argued that sudden shifts in the private sector from deficit to surplus forced the government balance into deficit, and cited as example the U.S.: "The financial balance of the private sector shifted towards surplus by the almost unbelievable cumulative total of 11.2 per cent of gross domestic
2658:
Another policy solution is the Tax Cuts and Jobs Act of 2017, which implemented significant tax cuts for individuals and corporations. Proponents of this legislation argued that it would stimulate economic growth and create jobs, while opponents raised concerns about its impact on the federal
2629:
Monetary Policy: The Federal Reserve can use monetary policy to influence the economy by adjusting interest rates and controlling the money supply. This can include decreasing interest rates to stimulate economic growth or increasing them to reduce inflation. However, monetary policy can have
3443:
National Academies of Sciences, Engineering, and Medicine; Health And Medicine, Division; Board on Population Health and Public Health Practice; Committee on Community-Based Solutions to Promote Health Equity in the United States; Baciu, A.; Negussie, Y.; Geller, A.; Weinstein, J. N. (2017).
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Budget reconciliation is an optional procedure used in some years to facilitate the passage of legislation amending tax or spending law. It allows lawmakers to advance spending and tax policies through the Senate with a simple majority, rather than the 60 votes typically needed to overcome a
2419:
refers to effective number of them in parliament, as a high number means requirement for large coalitions, increasing the probability of higher budget deficits. Limited number on the other land may lead to autocracy and loss of welfare influencing the budget balance, because democracy is key
1176:
According to the sectoral balances framework, budget surpluses offset net saving; in a time of high effective demand, this may lead to a private sector reliance on credit to finance consumption patterns. Hence, continual budget deficits are necessary for a growing economy that wants to avoid
2637:
Budget Reconciliation: The U.S. government can use the budget reconciliation process to pass legislation related to the budget with a simple majority vote. This process can allow for quick and decisive action on budget-related issues, but it can also limit debate and input from the minority
2531:
Like with taxes, they could decide to cut the budgets of every government agency/entity by the same percentage or they may decide to give a greater budget cut to specific agencies. Many, if not all, of these decisions made by lawmakers are based on political ideology, popularity with their
1621:
can influence the growth or shrinkage of fiscal deficits in several ways. Increased levels of economic activity generally lead to higher tax revenues, while government expenditures often increase during economic downturns because of higher outlays for social insurance programs such as
1205:
The meaning of "deficit" differs from that of "debt", which is an accumulation of yearly deficits. Deficits occur when a government's expenditures exceed the revenue that it levies. The deficit can be measured with or without including the interest payments on the debt as expenditures.
1091:
In any given time period, the government's budget can be either in deficit or in surplus. A deficit occurs when the government spends more than it taxes; and a surplus occurs when a government taxes more than it spends. Sectoral balances analysis shows that as a matter of accounting,
2667:
has also raised concerns about the impact on individuals and communities that rely on these programs. The Tax Cuts and Jobs Act of 2017 has similarly had a range of impacts, including both positive effects on economic growth and concerns about its impact on the federal deficit.
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is induced by changes in the interest rate. When the government wishes to borrow, its demand for credit increases and the interest rate, or price of credit, increases. This increase in the interest rate makes private investment more expensive as well and less of it is used.
2378:, referring to the fact that politicians tend to spend more money before and after the elections to please the voters. Due to it, there is a negative correlation between political stability and budget balance meaning the less political stability, the less balanced budget.
2311:
both worsen the budget balance because they increase the amount states must pay on interests, therefore their budget expenditures. In addition, increase of interest rate is an important mean of monetary policy to regulate the inflation, which clears the value of debt.
2318:
is generally considered to affect the budget balance, but its effect is not a priori clear. During inflation, government is often forced to compensate its effect to ordinary people, which means more expenditures. On the other hand, if country is highly indebted,
2278:
demand higher interest rates on new loans or long-term loans with variable interest to cover the potential loses. This measure often even worsens country's budget balance and increase the risk of country ending in insolvency or, in some cases, in bankruptcy.
611:
explained in December 2011 the causes of the sizable shift from private deficit to surplus: "This huge move into surplus reflects the end of the housing bubble, a sharp rise in household saving, and a slump in business investment due to lack of customers."
1699:
is the deficit that remains across the business cycle, because the general level of government spending exceeds prevailing tax levels. The observed total budget deficit is equal to the sum of the structural deficit with the cyclical deficit or surplus.
1641:
Inflation reduces the real value of accumulated debt. If investors anticipate future inflation, however, they will demand higher interest rates on government debt, making public borrowing more expensive.total borrowing=fiscal deficit of that year
3442:
2457:
relate to unusual economic events, which have significant effect on state budget balance, country-specific dummies for example to the German unification in 1990 and year dummies to macroeconomic shocks not fully reflected in the variables, like
2686:
Overall, the implementation of policy solutions and legislation to address issues regarding the government budget balance is a complex and ongoing process that requires careful consideration of a range of factors and potential implications.
2560:
is a practice that sees a government enforcing that payments, procurement of resources will only be done inline with realised revenues, such that a flat or a zero balance is maintained. Surplus purchases are funded through increases in tax.
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the deficit by an equal amount. If PAYGO requirements are not met, automatic spending cuts (known as sequestration) may be triggered to offset the increase in the deficit. However, Congress can waive PAYGO requirements through legislation.
2201:
The crowding-out hypothesis is the conjecture that when a government experiences a deficit, the choice to borrow to offset that deficit draws on the pool of resources available for investment, and private investment gets crowded out. This
2245:, the latter is preferable measure of the policy-related part of the budget and reduces the mutual partiality that may originate from the interaction between economic growth and budgets. However, there are serious warnings in estimating
2304:
are variables measuring the responsibility of government practising fiscal policy to macroeconomic terms. They help government to understand the current economic situation and choose the correct policy to sustain economic prosperity.
2976:
2451:(EMU), which were supposed to control government overspending. However, these criteria concerning maximum debt-to-GDP ratio and budget deficit are not evident to have some changing effect on budgets and debts of member states.
655:
is a stock, an accumulation). GDP can be expressed equivalently in terms of production or the types of newly produced goods purchased, as per the National Accounting relationship between aggregate spending and income:
2406:. A single party government does not have to deal with ideology disagreements like the coalition type of government. It is considered to be more active in enforcing new laws or measures and has more balanced budgets.
1614:
That is, the debt after this year's government operations equals what it was a year earlier plus this year's total deficit, because the current deficit has to be financed by borrowing via the issuance of new bonds.
1503:
2586:", has certainly alleviated the situation of Greek finances, but has put many banks in difficulty. Thus, Cypriot banks lost 5% of their assets in the haircut, which caused a banking crisis in this country.
1172:
is net exports. This implies that private net saving is only possible if the government runs budget deficits; alternately, the private sector is forced to dissave when the government runs a budget surplus.
2611:
In recent years, the United States has faced a growing concern over its government budget balance, with both deficits and surpluses having significant implications for the economy and society as a whole.
1684:) high. Conversely, at the peak of the cycle, unemployment is low, increasing tax revenue and decreasing social security spending. The additional borrowing required at the low point of the cycle is the
630:
Sectoral financial balances in U.S. economy 1990–2012. By definition, the three balances must net to zero. Since 2009, the U.S. capital surplus and private sector surplus have driven a government budget
2234:
variables are harder to target as circumstances outside direct government control (e.g. economic growth, exchange rate changes and asset price changes) affect stock variables more than flow variables.
2594:
As the interest rates on government debt securities are generally fixed, rising prices reduce the relative weight of interest payments for a government that sees its revenues artificially inflated by
1359:
1609:
2441:
are variables used mainly in Econometrics and Statistics to categorize data can only take one of two values (mostly 0 or 1). Here, it refers to events unique only for some parts of the world.
1703:
Some economists have criticized the distinction between cyclical and structural deficits, contending that the business cycle is too difficult to measure to make cyclical analysis worthwhile.
1626:. Changes in tax rates, tax enforcement policies, levels of social benefits, and other government policy decisions can also have major effects on public debt. For some countries, such as
1100:
Therefore, budget deficits, by definition, are equivalent to adding net financial assets to the private sector, whereas budget surpluses remove financial assets from the private sector.
1073:)), where net exports is the net spending of non-residents on this country's production. Thus total private saving equals private investment plus the public deficit plus net exports.
2430:
measures quality of political institutions in a country, which are key determinant of quality economic institution, stating the higher the quality, the lower are expected deficits.
902:
1088:, whereas the non-government sector includes private individuals and firms (including the private banking system) and the external sector – that is, foreign buyers and sellers.
1044:
2246:
1163:
967:
713:
572:
since it is measured at a specific point in time. The cumulative flow of deficits equals the stock of debt when a government employs cash accounting (though not under
1395:
1084:
describes any transactions between the government sector and the non-government sector as a vertical transaction. The government sector includes the treasury and the
804:
2164:
Deficits are considered to represent sinful profligate spending at the expense of future generations who will be left with a smaller endowment of invested capital.
1304:
1277:
1415:
1250:
1194:
522:) the budget balance is calculated using only spending on current operations, with expenditure on new capital assets excluded. A positive balance is called a
545:
and interest payments on accumulated government debt; the two together give the budget balance. Furthermore, the budget balance can be broken down into the
3408:
2320:
2651:
To address issues regarding the government budget balance, policymakers in the United States have implemented various policy solutions and legislation.
2134:
else. This innovation reduced the risk for the lenders, and so the government could offer a lower interest rate. Examples of bearer bonds are British
2122:
These loans became popular when private financiers had amassed enough capital to provide them, and when governments were no longer able to simply print
17:
2448:
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rates, which in most cases increase tax revenues, therefore budget deficit is not that much higher than during the government of right-wing parties.
3487:
1724:
developed countries, many economists argue that these countries have important fiscal gaps, beyond what can be seen from their deficits alone.
1635:
1427:
2156:
According to most economists, during recessions, the government can stimulate the economy by intentionally running a deficit. As Professor
584:
The government fiscal balance is one of three major sectoral balances in the national economy, the others being the foreign sector and the
3504:
2540:
Similar to increasing taxes, changes can be made to the tax code that increases tax revenue. Closing tax loopholes and allowing fewer
2274:. Countries with very high debt-to-GDP ratio are considered to be more financially vulnerable during recessions, and due to it, their
765:
Another perspective on the national income accounting is to note that households can allocate total income (Y) to the following uses:
2753:
2330:
prices, e.g. lower revenues from consumer tax because of lower amount of money, which can inhabitants spend on goods and services.
477:
2257:
Concerning factors clarifying variances in budgetary results, there are budgetary, macroeconomic, political, and dummy variables.
3426:
3224:
573:
515:
3182:
2111:, the deficit could only be financed with loans from private investors or other countries. A prominent example of this was the
3463:
3321:
2854:
2701:
1312:
1229:(which is often called the fiscal deficit or just the 'deficit') is the primary deficit plus interest payments on the debt.
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592:. For example, if there is a foreign financial surplus (or capital surplus) because capital is imported (net) to fund the
2348:
are considered as developed countries, but their debt is one of the highest in the world and any significant increase of
1521:
972:
This implies the accounting identity for the three sectoral balances – private domestic, government budget and external:
3012:
website. Data on U.S. state government finances can be found at the National Association of State Budget Officers
2748:
2743:
1197:(OECD) as government net borrowing or net lending, excluding interest payments on consolidated government liabilities.
3505:"Policy Solutions to Reduce Inflation - Policy Solutions to Reduce Inflation - United States Joint Economic Committee"
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3072:
2948:
553:) and the cyclical component: the structural budget balance attempts to adjust for the impact of cyclical changes in
2885:
2866:
3397:
Alesina, A., Favero, C., & Giavazzi, F. (2018). Climbing out of Debt. Finance & Development, 55(1), 6-11.
1651:
3095:"What Determines Fiscal Balances? An Empirical Investigation in Determinants of Changes in OECD Budget Balances"
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2484:
1690:. By definition, the cyclical deficit will be entirely repaid by a cyclical surplus at the peak of the cycle.
2763:
2374:
has significant effect on budget balance, because before and after the elections, there is a tendency called
3618:
2768:
2579:
2479:
1511:
Finally, this year's debt can be calculated from last year's debt and this year's total deficit, using the
470:
830:
3594:"Policy Basics: Introduction to the Federal Budget Process | Center on Budget and Policy Priorities"
2438:
554:
2886:"Goldman's Top Economist Explains The World's Most Important Chart, And His Big Call For The US Economy"
2099:
978:
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have physically demanding jobs and may not be able to continue working until the new retirement age.
2447:
refers to the consolidation measures about the fiscal policy in European countries to qualify to the
2323:
allows country to pay less real value of debt, or, in case of a deal with a creditor, pay it faster.
1093:
165:
3306:
3262:
3167:
3123:
1109:
913:
3036:
In this column, a negative number represents a deficit, and a positive number represents a surplus.
2375:
2360:
The economic institutions, among them those, which apply fiscal policy, are directly influenced by
2203:
2112:
1097:
removed more money and bonds from private holdings via taxes than it has put back in via spending.
662:
2711:
727:
639:) is the value of all goods and services produced within a country during one year. GDP measures
511:
463:
636:
589:
377:
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and has led to reductions in federal spending on defense, domestic programs, and other areas.
626:
3293:
3285:
3249:
3154:
3146:
3110:
3102:
2340:
states have higher budget deficits due to need to finance catching-up expenditures. However,
2182:
2115:
dynasty in the late 18th and 19th century, though there were many earlier examples (e.g. the
1367:
771:
3241:
2463:
2421:
1623:
1282:
1255:
2285:
means that past fiscal policy decisions done by government can influence the condition of
619:
framework for macroeconomic analysis of national economies developed by British economist
8:
3445:
2967:
2459:
2413:("fiefdom") or if it is a combination of delegation and commitment (typology based on ).
1214:
1081:
743:
735:
564:, since it is an amount per unit of time (typically, per year). Thus it is distinct from
507:
357:
222:
185:
76:
35:
3352:
1751:
Please help update this article to reflect recent events or newly available information.
1177:
deflation. Therefore, budget surpluses are required only when the economy has excessive
59:
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would lead to huge financial problems, therefore this assumption is quite problematic.
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382:
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244:
180:
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3520:"Policy failure and the policy-implementation gap: Can policy support programs help?"
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filibuster. This can make it easier for Congress to pass budget-related legislation.
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are different from the act of increasing taxes but essentially have the same effect.
2385:
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where the first term on the right side is interest payments on the outstanding debt.
616:
531:
447:
428:
336:
284:
141:
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3242:"Government Fragmentation and Fiscal Policy Outcomes: Evidence from OECD Countries"
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refers to the political ideology of the government. It is generally supposed that
588:. The sum of the surpluses or deficits across these three sectors must be zero by
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hypothesis, named after the English political economist and Member of Parliament
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3278:"The Design of Fiscal Rules and Forms of Governance in European Union Countries"
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The sectoral balances (also called sectoral financial balances) derive from the
3009:
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Financial Times-Martin Wolf-The Balance Sheet Recession in the U.S. – July 2012
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has quite straightforward effect on budget balance, if it is supposed that low
2286:
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2108:
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French government borrowing (budget deficits) as a percentage of GNP, 1960–2009
1077:
648:
644:
585:
569:
535:
326:
266:
254:
51:
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is last year's debt (the debt accumulated up to and including last year), and
3612:
3206:
2838:
2706:
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unintended consequences and may not always be effective in reducing deficits.
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2520:
2483:
The government surplus/deficit of struggling European countries according to
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2186:
2139:
1713:
1645:
640:
593:
561:
311:
261:
239:
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158:
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111:
101:
86:
69:
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is the interest rate attached to the debt, then the total deficit for year
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608:
451:
271:
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175:
106:
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2160:, awarded with the 1996 Nobel Memorial Prize in Economic Sciences put it:
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This article is about government budget balances. For trade balances, see
3444:
Weinstein, James N.; Geller, Amy; Negussie, Yamrot; Baciu, Alina (eds.).
600:
372:
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Financial Management For Public, Health And Not-For-Profit Organizations
3183:"Economic, political, and institutional determinants of public deficits"
3047:"Vickrey, William. 1996. 15 Fatal Fallacies of Financial Fundamentalism"
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the government to cut expenditures without cutting government spending.
2392:. On the other hand, left-wing parties tend to set more "socially just"
3021:
1708:
1498:{\displaystyle {\text{Total deficit}}_{t}=r\cdot D_{t-1}+G_{t}-T_{t}\,}
321:
296:
197:
121:
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Hallerberg, Mark; Strauch, Rolf; von Hagen, Jürgen (1 December 2004).
2220:
Dependent variables include budgetary variables, meaning deficits and
1680:. This means that tax revenues are low and expenditure (e.g., on
1664:
A government deficit can be thought of as consisting of two elements,
3575:"Healthcare Policy: What is It and Why is It Important? | USAHS"
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unintended consequences and equity implications of these policies.
2582:, the cancellation of part of the debt in 2011, which is called a "
2516:
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2275:
1638:(OPEC), oil and gas receipts play a major role in public finances.
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is used to characterise the long-run sustainability of government
1217:
on goods and services and total current revenue from all types of
2512:
2337:
2135:
2646:
2573:
2504:
2492:
2474:
2341:
1631:
1627:
1049:
The sectoral balances equation says that total private saving (
534:
presents the government's proposed revenues and spending for a
316:
3322:"The institutional environment for infrastructure investment"
2528:
etc.) Lawmakers may also decide to cut government spending.
2500:
2488:
2345:
2289:
in the following years (e.g. huge government spending during
2123:
3409:"Everything You Need to Know About the Cyprus Bank Disaster"
3018:
Organization for Economic Cooperation and Development (OECD)
3016:. Data for most advanced countries can be obtained from the
2903:"Deficit Spending 101 – Part 1 : Vertical Transactions"
2615:
2210:
3020:
website. Data for most other countries can be found at the
2221:
1200:
557:, in order to indicate the longer-run budgetary situation.
3275:
2193:
evidence on Ricardian equivalence effects has been mixed.
1774:
National government budgets for 2010 (in billions of US$ )
1646:
Structural deficits, cyclical deficits, and the fiscal gap
541:
The government budget balance can be broken down into the
41:"Budget deficits" redirects here. Not to be confused with
3137:
Eschenbach, Felix; Schuknecht, Ludger (1 November 2002).
1218:
3013:
2103:
United States deficit or surplus percentage 1901 to 2006
3380:, 2nd Ed., Ch. 11, pp. 442–43. Pearson Education, Inc,
1354:{\displaystyle {\text{Primary deficit}}=G_{t}-T_{t}.\,}
3017:
2943:, 2nd ed., Ch. 3.5.1, p. 56. Oxford University Press,
1195:
Organisation for Economic Co-operation and Development
3518:
Hudson, Bob; Hunter, David; Peckham, Stephen (2019).
3139:"The Fiscal Costs of Financial Instability Revisited"
3008:
Data on the United States' federal debt can found at
2916:"OECD Glossary of Statistical Terms: Primary Balance"
1524:
1430:
1403:
1370:
1315:
1285:
1258:
1238:
1112:
981:
916:
833:
774:
665:
3136:
2601:
3517:
3353:"How to Use Dummy Variables in Regression Analysis"
1604:{\displaystyle {D_{t}}=(1+r)D_{t-1}+G_{t}-T_{t}.\,}
3239:
2935:
2933:
2470:Potential policy solutions for unintended deficits
1603:
1497:
1409:
1389:
1353:
1298:
1271:
1244:
1157:
1038:
961:
896:
798:
707:
3093:Tujula, Mika; Wolswijk, Guido (1 December 2004).
3610:
3222:
2547:
2388:are more-expenditure and deficit-prone than the
651:is a flow, measured per unit of time, while the
2930:
3240:Kontopoulos, Yianos; Perotti, Roberto (1999).
3226:Economic Origins of Dictatorship and Democracy
3092:
2908:
2850:
2848:
2249:, especially defining trend/potential output.
1727:
560:The government budget surplus or deficit is a
3067:, 7th Ed., Ch. 18 p. 464. McGraw-Hill Irwin,
2532:electorate, or popularity with their donors.
2402:means if the government is single party or a
1636:Organization of Petroleum Exporting Countries
1306:is tax revenue for the respective year, then
1213:is defined as the difference between current
1057:) has to equal the public deficit (spending,
471:
3486:: CS1 maint: multiple names: authors list (
3229:. Cambridge, UK: Cambridge University Press.
2647:Implemented policy solutions and legislation
2574:Cancellation of part of the debt: bankruptcy
2475:Increase taxes or reduce government spending
3406:
2845:
2224:, and nominal or cyclically adjusted data.
722:is GDP (production; equivalently, income),
2939:Michael Burda and Charles Wyplosz (1995),
2803:
2302:Unemployment rate/output growth/output gap
2296:
2196:
478:
464:
58:
3535:
3223:Robinson, James; Acemoglu, Daron (2006).
2616:Overview of the types of policy solutions
2211:Determinants of government budget balance
1600:
1494:
1350:
3588:
3586:
3584:
3499:
3497:
3438:
3436:
2954:
2754:National debt by U.S. presidential terms
2478:
2252:
2176:
2098:
1655:
1201:Primary deficit, total deficit, and debt
625:
27:Difference between revenues and spending
3569:
3567:
3565:
3563:
3561:
3559:
3557:
3555:
3032:
3030:
2809:
2424:, and therefore high economic welfare.
506:, is the difference between government
14:
3611:
3319:
2960:
2896:
2883:
2535:
2355:
2309:Long-term and short-term interest rate
2260:
2215:
3581:
3494:
3433:
3218:
3216:
3088:
3086:
3084:
3082:
3080:
2702:Current account (balance of payments)
1103:This is represented by the identity:
824:Combining the two perspectives gives
3552:
3350:
3027:
2963:"The myth of the structural deficit"
1731:
1193:"Primary balance" is defined by the
897:{\displaystyle C+S+T=Y=C+I+G+(X-M).}
579:
3180:
2145:
1712:, a measure proposed by economists
24:
3407:O'Brien, Matthew (18 March 2013).
3213:
3077:
2961:Dillow, Chris (15 February 2010).
2749:National debt of the United States
2744:Fiscal policy of the United States
2564:
2433:
1188:
1039:{\displaystyle (S-I)=(G-T)+(X-M).}
337:Trade / commerce ministry
25:
18:Primary balance (statistical term)
3635:
3604:
3022:International Monetary Fund (IMF)
2602:Policy implementations by country
2455:Country-specific and year dummies
2094:
2606:
1736:
446:
3511:
3419:
3400:
3391:
3370:
3344:
3326:Industrial and Corporate Change
3313:
3269:
3233:
3174:
3130:
3057:
3039:
3002:
2991:
2905:Bill Mitchell, 21 February 2009
1652:Structural and cyclical deficit
2998:AARP article on the fiscal gap
2877:
2859:
2781:
2485:European sovereign debt crisis
2464:11 September terrorist attacks
2293:in most developed countries).
1552:
1540:
1158:{\displaystyle (G-T)=(S-I)-NX}
1143:
1131:
1125:
1113:
1030:
1018:
1012:
1000:
994:
982:
962:{\displaystyle S+T=I+G+(X-M).}
953:
941:
888:
876:
702:
690:
526:, and a negative balance is a
514:. For a government that uses
13:
1:
3537:10.1080/25741292.2018.1540378
3199:10.1016/S0047-2727(01)00143-8
2812:"Issues in Accrual Budgeting"
2774:
2764:Taxation in the United States
2548:Reduce debt service liability
2130:, to finance their spending.
1672:. At the lowest point in the
1252:refers to an arbitrary year,
1065:) plus net exports (exports (
708:{\displaystyle Y=C+I+G+(X-M)}
2791:. Imf.org. 14 September 2006
2769:United States federal budget
2589:
2580:Greek government-debt crisis
2382:Government composition index
2247:cyclically adjusted balances
1513:government budget constraint
1053:) minus private investment (
34:. For payment balances, see
7:
3187:Journal of Public Economics
2973:The Financial Times Limited
2690:
2417:Number of political parties
1728:National government budgets
1676:, there is a high level of
1279:is government spending and
551:cyclically-adjusted balance
10:
3640:
3524:Policy Design and Practice
3376:Steven A. Finkler (2005),
2149:
1649:
1094:government budget deficits
496:general government balance
494:, also referred to as the
166:Deficit / surplus
40:
29:
2831:10.1787/budget-v4-art5-en
2819:OECD Journal on Budgeting
1745:This article needs to be
817:is total taxation net of
528:government budget deficit
524:government budget surplus
492:government budget balance
267:Monetary (currency) union
3351:Zach (2 February 2021).
3063:Harvey S. Rosen (2005),
2376:political business cycle
2243:cyclically adjusted data
2107:Before the invention of
3320:Henisz, Witold (2002).
2941:European Macroeconomics
2712:Generational accounting
2449:European monetary union
2428:Overall political index
2297:Macroeconomic variables
2197:Crowding-out hypothesis
1390:{\displaystyle D_{t-1}}
799:{\displaystyle Y=C+S+T}
746:on goods and services,
3301:Cite journal requires
3257:Cite journal requires
3162:Cite journal requires
3118:Cite journal requires
2524:
2174:
2104:
1661:
1605:
1499:
1411:
1391:
1355:
1300:
1273:
1246:
1181:, and is in danger of
1159:
1040:
963:
898:
800:
709:
637:Gross Domestic Product
632:
378:Discretionary spending
3447:Communities in Action
3181:Woo, Jaejoon (2003).
2810:Blöndal, Jón (2004).
2663:the federal deficit.
2482:
2422:economic institutions
2283:Lagged budget balance
2253:Independent variables
2183:Ricardian equivalence
2177:Ricardian equivalence
2162:
2102:
1659:
1634:, and members of the
1624:unemployment benefits
1606:
1500:
1412:
1392:
1356:
1301:
1299:{\displaystyle T_{t}}
1274:
1272:{\displaystyle G_{t}}
1247:
1160:
1041:
964:
899:
801:
710:
629:
599:Financial journalist
504:public fiscal balance
500:public budget balance
3338:10.1093/icc/11.2.355
1522:
1428:
1401:
1368:
1313:
1283:
1256:
1236:
1110:
979:
914:
831:
813:is total saving and
772:
663:
3619:Government spending
2968:Investors Chronicle
2873:. 28 December 2011.
2536:Changes in tax code
2356:Political variables
2261:Budgetary variables
2216:Dependent variables
2204:crowding-out effect
1777:
1768:Data are for 2010:
1215:government spending
1082:Modern Money Theory
1061:, minus net taxes,
744:government spending
736:investment spending
36:Balance of payments
3010:U.S. Treasury
2525:
2400:Type of government
2390:right-wing parties
2126:, with consequent
2105:
1771:
1718:Laurence Kotlikoff
1696:structural deficit
1662:
1601:
1495:
1407:
1387:
1351:
1296:
1269:
1242:
1155:
1036:
959:
894:
796:
705:
633:
574:accrual accounting
547:structural balance
516:accrual accounting
383:Mandatory spending
307:Non-tariff barrier
245:Monetary authority
3465:978-0-309-45296-0
3280:. Rochester, NY.
3141:. Rochester, NY.
3097:. Rochester, NY.
2884:Weisenthal, Joe.
2871:Paul Krugman Blog
2727:Sectoral balances
2717:Government budget
2410:Fiscal governance
2386:left-wing parties
2366:political economy
2321:soaring inflation
2291:COVID-19 pandemic
2267:Debt-to-GDP ratio
2092:
2091:
1766:
1765:
1435:
1410:{\displaystyle r}
1319:
1245:{\displaystyle t}
1223:transfer payments
1069:) minus imports (
819:transfer payments
762:is net exports).
617:sectoral analysis
580:Sectoral balances
532:government budget
488:
487:
429:Fiscal adjustment
16:(Redirected from
3631:
3598:
3597:
3590:
3579:
3578:
3571:
3550:
3549:
3539:
3515:
3509:
3508:
3501:
3492:
3491:
3485:
3477:
3440:
3431:
3430:
3427:"Dette Publique"
3423:
3417:
3416:
3404:
3398:
3395:
3389:
3374:
3368:
3367:
3365:
3363:
3348:
3342:
3341:
3317:
3311:
3310:
3304:
3299:
3297:
3289:
3273:
3267:
3266:
3260:
3255:
3253:
3245:
3237:
3231:
3230:
3220:
3211:
3210:
3193:(3–4): 387–426.
3178:
3172:
3171:
3165:
3160:
3158:
3150:
3134:
3128:
3127:
3121:
3116:
3114:
3106:
3090:
3075:
3061:
3055:
3054:
3051:www.columbia.edu
3043:
3037:
3034:
3025:
3006:
3000:
2995:
2989:
2988:
2986:
2984:
2975:. Archived from
2958:
2952:
2937:
2928:
2927:
2925:
2923:
2918:. stats.oecd.org
2912:
2906:
2900:
2894:
2893:
2890:Business Insider
2881:
2875:
2874:
2863:
2857:
2852:
2843:
2842:
2816:
2807:
2801:
2800:
2798:
2796:
2785:
2759:Starve the beast
2152:Deficit spending
2146:Deficit spending
1778:
1770:
1761:
1758:
1752:
1740:
1739:
1732:
1687:cyclical deficit
1610:
1608:
1607:
1602:
1596:
1595:
1583:
1582:
1570:
1569:
1536:
1535:
1534:
1504:
1502:
1501:
1496:
1493:
1492:
1480:
1479:
1467:
1466:
1442:
1441:
1436:
1433:
1416:
1414:
1413:
1408:
1396:
1394:
1393:
1388:
1386:
1385:
1360:
1358:
1357:
1352:
1346:
1345:
1333:
1332:
1320:
1317:
1305:
1303:
1302:
1297:
1295:
1294:
1278:
1276:
1275:
1270:
1268:
1267:
1251:
1249:
1248:
1243:
1179:aggregate demand
1164:
1162:
1161:
1156:
1045:
1043:
1042:
1037:
968:
966:
965:
960:
903:
901:
900:
895:
805:
803:
802:
797:
714:
712:
711:
706:
480:
473:
466:
450:
302:Gains from trade
292:Balance of trade
171:Finance ministry
62:
48:
47:
32:Balance of trade
21:
3639:
3638:
3634:
3633:
3632:
3630:
3629:
3628:
3609:
3608:
3607:
3602:
3601:
3592:
3591:
3582:
3577:. October 2021.
3573:
3572:
3553:
3516:
3512:
3503:
3502:
3495:
3479:
3478:
3466:
3441:
3434:
3425:
3424:
3420:
3405:
3401:
3396:
3392:
3375:
3371:
3361:
3359:
3349:
3345:
3318:
3314:
3302:
3300:
3291:
3290:
3274:
3270:
3258:
3256:
3247:
3246:
3238:
3234:
3221:
3214:
3179:
3175:
3163:
3161:
3152:
3151:
3135:
3131:
3119:
3117:
3108:
3107:
3091:
3078:
3062:
3058:
3045:
3044:
3040:
3035:
3028:
3007:
3003:
2996:
2992:
2982:
2980:
2959:
2955:
2938:
2931:
2921:
2919:
2914:
2913:
2909:
2901:
2897:
2882:
2878:
2865:
2864:
2860:
2853:
2846:
2814:
2808:
2804:
2794:
2792:
2787:
2786:
2782:
2777:
2693:
2649:
2618:
2609:
2604:
2592:
2576:
2567:
2565:Balanced budget
2558:balanced budget
2550:
2538:
2477:
2472:
2439:Dummy variables
2436:
2434:Dummy variables
2420:determinant of
2394:progressive tax
2358:
2299:
2287:public finances
2263:
2255:
2237:Concerning the
2218:
2213:
2199:
2179:
2158:William Vickrey
2154:
2148:
2097:
1799:Balance/Revenue
1796:Expenditure/GDP
1776:
1762:
1756:
1753:
1750:
1741:
1737:
1730:
1682:social security
1654:
1648:
1619:Economic trends
1591:
1587:
1578:
1574:
1559:
1555:
1530:
1526:
1525:
1523:
1520:
1519:
1488:
1484:
1475:
1471:
1456:
1452:
1437:
1432:
1431:
1429:
1426:
1425:
1402:
1399:
1398:
1375:
1371:
1369:
1366:
1365:
1341:
1337:
1328:
1324:
1318:Primary deficit
1316:
1314:
1311:
1310:
1290:
1286:
1284:
1281:
1280:
1263:
1259:
1257:
1254:
1253:
1237:
1234:
1233:
1211:primary deficit
1203:
1191:
1189:Primary balance
1111:
1108:
1107:
980:
977:
976:
915:
912:
911:
832:
829:
828:
773:
770:
769:
754:is imports (so
750:is exports and
664:
661:
660:
653:government debt
582:
566:government debt
549:(also known as
543:primary balance
520:cash accounting
484:
439:
438:
434:Monetary reform
424:
416:
415:
411:Price stability
406:Economic growth
401:Balanced budget
396:
388:
387:
368:Non-tax revenue
363:
362:
342:
341:
332:Trade diversion
287:
277:
276:
230:Discount window
213:
211:Monetary policy
203:
202:
137:
127:
126:
72:
46:
43:Government debt
39:
28:
23:
22:
15:
12:
11:
5:
3637:
3627:
3626:
3621:
3606:
3605:External links
3603:
3600:
3599:
3580:
3551:
3510:
3493:
3464:
3456:10.17226/24624
3432:
3418:
3399:
3390:
3369:
3343:
3332:(2): 355–389.
3312:
3303:|journal=
3268:
3259:|journal=
3232:
3212:
3173:
3164:|journal=
3129:
3120:|journal=
3076:
3065:Public Finance
3056:
3038:
3026:
3001:
2990:
2979:on 31 May 2014
2953:
2929:
2907:
2895:
2876:
2858:
2844:
2825:(1): 103–119.
2802:
2789:"IMF database"
2779:
2778:
2776:
2773:
2772:
2771:
2766:
2761:
2756:
2751:
2746:
2741:
2735:
2734:
2730:
2729:
2724:
2722:Public finance
2719:
2714:
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2537:
2534:
2509:United Kingdom
2476:
2473:
2471:
2468:
2435:
2432:
2357:
2354:
2350:interest rates
2298:
2295:
2262:
2259:
2254:
2251:
2228:The debt ratio
2217:
2214:
2212:
2209:
2198:
2195:
2178:
2175:
2150:Main article:
2147:
2144:
2117:Peruzzi family
2096:
2095:Early deficits
2093:
2090:
2089:
2086:
2083:
2080:
2077:
2074:
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2012:
2011:
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2002:
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1924:
1921:
1918:
1915:
1912:
1911:United Kingdom
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1907:
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1901:
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1826:
1823:
1820:
1817:
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1811:
1808:
1804:
1803:
1800:
1797:
1794:
1793:Budget balance
1791:
1788:
1785:
1782:
1772:
1764:
1763:
1744:
1742:
1735:
1729:
1726:
1674:business cycle
1650:Main article:
1647:
1644:
1612:
1611:
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1378:
1374:
1362:
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1340:
1336:
1331:
1327:
1323:
1293:
1289:
1266:
1262:
1241:
1232:Therefore, if
1202:
1199:
1190:
1187:
1166:
1165:
1154:
1151:
1148:
1145:
1142:
1139:
1136:
1133:
1130:
1127:
1124:
1121:
1118:
1115:
1078:macroeconomics
1047:
1046:
1035:
1032:
1029:
1026:
1023:
1020:
1017:
1014:
1011:
1008:
1005:
1002:
999:
996:
993:
990:
987:
984:
970:
969:
958:
955:
952:
949:
946:
943:
940:
937:
934:
931:
928:
925:
922:
919:
905:
904:
893:
890:
887:
884:
881:
878:
875:
872:
869:
866:
863:
860:
857:
854:
851:
848:
845:
842:
839:
836:
807:
806:
795:
792:
789:
786:
783:
780:
777:
716:
715:
704:
701:
698:
695:
692:
689:
686:
683:
680:
677:
674:
671:
668:
649:public deficit
647:(example: the
586:private sector
581:
578:
570:stock variable
536:financial year
486:
485:
483:
482:
475:
468:
460:
457:
456:
455:
454:
441:
440:
437:
436:
431:
425:
422:
421:
418:
417:
414:
413:
408:
403:
397:
394:
393:
390:
389:
386:
385:
380:
375:
370:
364:
361:
360:
355:
349:
348:
347:
344:
343:
340:
339:
334:
329:
327:Trade creation
324:
319:
314:
309:
304:
299:
294:
288:
283:
282:
279:
278:
275:
274:
269:
264:
259:
258:
257:
255:currency board
252:
242:
237:
232:
227:
226:
225:
214:
209:
208:
205:
204:
201:
200:
195:
194:
193:
183:
178:
173:
168:
163:
162:
161:
151:
150:
149:
138:
133:
132:
129:
128:
125:
124:
119:
114:
109:
104:
99:
94:
89:
84:
79:
73:
68:
67:
64:
63:
55:
54:
52:Public finance
26:
9:
6:
4:
3:
2:
3636:
3625:
3622:
3620:
3617:
3616:
3614:
3595:
3589:
3587:
3585:
3576:
3570:
3568:
3566:
3564:
3562:
3560:
3558:
3556:
3547:
3543:
3538:
3533:
3529:
3525:
3521:
3514:
3506:
3500:
3498:
3489:
3483:
3475:
3471:
3467:
3461:
3457:
3453:
3449:
3448:
3439:
3437:
3428:
3422:
3414:
3410:
3403:
3394:
3387:
3386:0-13-147198-8
3383:
3379:
3373:
3358:
3354:
3347:
3339:
3335:
3331:
3327:
3323:
3316:
3308:
3295:
3287:
3283:
3279:
3272:
3264:
3251:
3243:
3236:
3228:
3227:
3219:
3217:
3208:
3204:
3200:
3196:
3192:
3188:
3184:
3177:
3169:
3156:
3148:
3144:
3140:
3133:
3125:
3112:
3104:
3100:
3096:
3089:
3087:
3085:
3083:
3081:
3074:
3073:0-07-287648-4
3070:
3066:
3060:
3052:
3048:
3042:
3033:
3031:
3023:
3019:
3015:
3011:
3005:
2999:
2994:
2978:
2974:
2970:
2969:
2964:
2957:
2950:
2949:0-19-877468-0
2946:
2942:
2936:
2934:
2917:
2911:
2904:
2899:
2891:
2887:
2880:
2872:
2868:
2867:"The Problem"
2862:
2856:
2851:
2849:
2840:
2836:
2832:
2828:
2824:
2820:
2813:
2806:
2790:
2784:
2780:
2770:
2767:
2765:
2762:
2760:
2757:
2755:
2752:
2750:
2747:
2745:
2742:
2740:
2737:
2736:
2733:U.S. specific
2732:
2731:
2728:
2725:
2723:
2720:
2718:
2715:
2713:
2710:
2708:
2707:Fiscal policy
2705:
2703:
2700:
2698:
2697:Budget crisis
2695:
2694:
2688:
2684:
2680:
2676:
2672:
2668:
2664:
2660:
2656:
2652:
2644:
2636:
2632:
2628:
2624:
2620:
2619:
2613:
2607:United States
2599:
2597:
2587:
2585:
2581:
2571:
2562:
2559:
2554:
2545:
2543:
2533:
2529:
2522:
2521:United States
2518:
2514:
2510:
2506:
2502:
2498:
2494:
2490:
2486:
2481:
2467:
2465:
2461:
2456:
2452:
2450:
2446:
2445:Run-up to EMU
2442:
2440:
2431:
2429:
2425:
2423:
2418:
2414:
2411:
2407:
2405:
2401:
2397:
2395:
2391:
2387:
2383:
2379:
2377:
2373:
2372:Election year
2369:
2367:
2363:
2353:
2351:
2347:
2343:
2339:
2335:
2334:Welfare level
2331:
2328:
2324:
2322:
2317:
2313:
2310:
2306:
2303:
2294:
2292:
2288:
2284:
2280:
2277:
2273:
2272:fiscal policy
2269:
2268:
2258:
2250:
2248:
2244:
2240:
2235:
2233:
2232:stock markets
2229:
2225:
2223:
2208:
2205:
2194:
2190:
2188:
2187:David Ricardo
2184:
2173:
2169:
2165:
2161:
2159:
2153:
2143:
2141:
2140:Treasury bill
2138:and American
2137:
2131:
2129:
2125:
2120:
2118:
2114:
2110:
2101:
2087:
2084:
2081:
2078:
2075:
2072:
2069:
2066:
2065:
2061:
2058:
2055:
2052:
2049:
2046:
2043:
2040:
2039:
2035:
2032:
2029:
2026:
2023:
2020:
2017:
2014:
2013:
2009:
2006:
2003:
2000:
1997:
1994:
1991:
1988:
1987:
1983:
1980:
1977:
1974:
1971:
1968:
1965:
1962:
1961:
1957:
1954:
1951:
1948:
1945:
1942:
1939:
1936:
1935:
1931:
1928:
1925:
1922:
1919:
1916:
1913:
1910:
1909:
1905:
1902:
1899:
1896:
1893:
1890:
1887:
1884:
1883:
1879:
1876:
1873:
1870:
1867:
1864:
1861:
1858:
1857:
1853:
1850:
1847:
1844:
1841:
1838:
1835:
1832:
1831:
1827:
1824:
1821:
1818:
1815:
1812:
1809:
1806:
1805:
1801:
1798:
1795:
1792:
1789:
1786:
1783:
1780:
1779:
1775:
1769:
1760:
1757:November 2011
1748:
1743:
1734:
1733:
1725:
1721:
1719:
1715:
1714:Alan Auerbach
1711:
1710:
1704:
1701:
1698:
1697:
1691:
1689:
1688:
1683:
1679:
1675:
1671:
1667:
1658:
1653:
1643:
1639:
1637:
1633:
1629:
1625:
1620:
1616:
1597:
1592:
1588:
1584:
1579:
1575:
1571:
1566:
1563:
1560:
1556:
1549:
1546:
1543:
1537:
1531:
1527:
1518:
1517:
1516:
1514:
1509:
1489:
1485:
1481:
1476:
1472:
1468:
1463:
1460:
1457:
1453:
1449:
1446:
1443:
1438:
1434:Total deficit
1424:
1423:
1422:
1420:
1404:
1382:
1379:
1376:
1372:
1347:
1342:
1338:
1334:
1329:
1325:
1321:
1309:
1308:
1307:
1291:
1287:
1264:
1260:
1239:
1230:
1228:
1227:total deficit
1224:
1220:
1216:
1212:
1207:
1198:
1196:
1186:
1184:
1180:
1174:
1171:
1152:
1149:
1146:
1140:
1137:
1134:
1128:
1122:
1119:
1116:
1106:
1105:
1104:
1101:
1098:
1095:
1089:
1087:
1083:
1079:
1074:
1072:
1068:
1064:
1060:
1056:
1052:
1033:
1027:
1024:
1021:
1015:
1009:
1006:
1003:
997:
991:
988:
985:
975:
974:
973:
956:
950:
947:
944:
938:
935:
932:
929:
926:
923:
920:
917:
910:
909:
908:
891:
885:
882:
879:
873:
870:
867:
864:
861:
858:
855:
852:
849:
846:
843:
840:
837:
834:
827:
826:
825:
822:
820:
816:
812:
793:
790:
787:
784:
781:
778:
775:
768:
767:
766:
763:
761:
757:
753:
749:
745:
741:
737:
733:
729:
725:
721:
699:
696:
693:
687:
684:
681:
678:
675:
672:
669:
666:
659:
658:
657:
654:
650:
646:
642:
638:
628:
624:
622:
618:
613:
610:
605:
602:
597:
595:
594:trade deficit
591:
587:
577:
575:
571:
568:, which is a
567:
563:
562:flow variable
558:
556:
552:
548:
544:
539:
537:
533:
529:
525:
521:
518:(rather than
517:
513:
509:
505:
501:
497:
493:
481:
476:
474:
469:
467:
462:
461:
459:
458:
453:
449:
445:
444:
443:
442:
435:
432:
430:
427:
426:
420:
419:
412:
409:
407:
404:
402:
399:
398:
392:
391:
384:
381:
379:
376:
374:
371:
369:
366:
365:
359:
356:
354:
351:
350:
346:
345:
338:
335:
333:
330:
328:
325:
323:
320:
318:
315:
313:
312:Protectionism
310:
308:
305:
303:
300:
298:
295:
293:
290:
289:
286:
281:
280:
273:
270:
268:
265:
263:
262:Monetary base
260:
256:
253:
251:
248:
247:
246:
243:
241:
240:Interest rate
238:
236:
235:Gold reserves
233:
231:
228:
224:
221:
220:
219:
218:Bank reserves
216:
215:
212:
207:
206:
199:
196:
192:
189:
188:
187:
184:
182:
179:
177:
174:
172:
169:
167:
164:
160:
157:
156:
155:
152:
148:
145:
144:
143:
140:
139:
136:
135:Fiscal policy
131:
130:
123:
120:
118:
115:
113:
110:
108:
105:
103:
100:
98:
95:
93:
90:
88:
85:
83:
80:
78:
75:
74:
71:
66:
65:
61:
57:
56:
53:
50:
49:
44:
37:
33:
19:
3527:
3523:
3513:
3446:
3421:
3413:The Atlantic
3412:
3402:
3393:
3377:
3372:
3360:. Retrieved
3356:
3346:
3329:
3325:
3315:
3294:cite journal
3271:
3250:cite journal
3235:
3225:
3190:
3186:
3176:
3155:cite journal
3132:
3111:cite journal
3064:
3059:
3050:
3041:
3004:
2993:
2981:. Retrieved
2977:the original
2966:
2956:
2940:
2920:. Retrieved
2910:
2898:
2889:
2879:
2870:
2861:
2822:
2818:
2805:
2793:. Retrieved
2783:
2739:Deficit hawk
2685:
2681:
2677:
2673:
2669:
2665:
2661:
2657:
2653:
2650:
2641:
2610:
2593:
2577:
2568:
2555:
2551:
2539:
2530:
2526:
2515:against the
2462:in 1970s or
2454:
2453:
2444:
2443:
2437:
2427:
2426:
2416:
2415:
2409:
2408:
2399:
2398:
2381:
2380:
2371:
2370:
2361:
2359:
2333:
2332:
2327:Asset prices
2326:
2325:
2315:
2314:
2308:
2307:
2301:
2300:
2282:
2281:
2265:
2264:
2256:
2242:
2238:
2236:
2227:
2226:
2219:
2200:
2191:
2180:
2170:
2166:
2163:
2155:
2132:
2121:
2106:
1807:US (federal)
1802:Balance/GDP
1773:
1767:
1754:
1746:
1722:
1707:
1705:
1702:
1694:
1692:
1685:
1678:unemployment
1669:
1665:
1663:
1640:
1617:
1613:
1512:
1510:
1507:
1418:
1363:
1231:
1226:
1210:
1208:
1204:
1192:
1175:
1169:
1167:
1102:
1099:
1090:
1086:central bank
1075:
1070:
1066:
1062:
1058:
1054:
1050:
1048:
971:
906:
823:
814:
810:
808:
764:
759:
755:
751:
747:
739:
731:
723:
719:
717:
643:rather than
634:
621:Wynne Godley
614:
609:Paul Krugman
606:
598:
583:
559:
550:
546:
542:
540:
527:
523:
503:
499:
495:
491:
489:
285:Trade policy
272:Money supply
250:central bank
223:requirements
176:Fiscal union
77:Agricultural
2634:resistance.
2578:During the
2523:(2000–2013)
2067:South Korea
1790:Expenditure
734:is private
728:consumption
601:Martin Wolf
373:Tax revenue
3613:Categories
2795:1 February
2775:References
2542:deductions
2460:oil shocks
2113:Rothschild
1833:US (state)
1709:fiscal gap
1666:structural
730:spending,
607:Economist
590:definition
322:Trade bloc
297:Free trade
122:Policy mix
97:Investment
92:Industrial
3546:188057401
3482:cite book
3357:Statology
3244:: 81–102.
3207:0047-2727
2922:14 August
2839:1608-7143
2659:deficit.
2596:inflation
2590:Inflation
2404:coalition
2316:Inflation
2276:creditors
2128:inflation
1585:−
1564:−
1482:−
1461:−
1450:⋅
1380:−
1335:−
1183:inflation
1147:−
1138:−
1120:−
1025:−
1007:−
989:−
948:−
883:−
697:−
3530:: 1–14.
3474:28418632
3362:28 April
3024:website.
2691:See also
2622:debated.
2519:and the
2517:Eurozone
2497:Portugal
1670:cyclical
631:deficit.
555:real GDP
512:spending
508:revenues
358:Spending
186:Spending
159:internal
117:Monetary
82:Economic
70:Policies
3014:website
2584:haircut
2513:Ireland
2362:de jure
2338:welfare
2239:nominal
2172:houses.
2142:bonds.
2136:Consols
1885:Germany
1787:Revenue
1747:updated
1221:net of
395:Optimum
353:Revenue
191:deficit
181:Revenue
3544:
3472:
3462:
3384:
3286:617812
3284:
3205:
3147:358441
3145:
3103:631669
3101:
3071:
2983:19 May
2947:
2837:
2638:party.
2505:Greece
2493:Cyprus
2342:Greece
2088:+2.9%
2062:-3.1%
2041:Canada
2036:-4.6%
2010:+5.1%
1984:-3.5%
1958:-1.7%
1937:France
1932:-3.3%
1906:+6.1%
1880:+3.6%
1877:-24.9%
1854:+0.4%
1836:14,526
1828:-8.9%
1825:14.88%
1819:-1,293
1810:14,526
1781:Nation
1632:Russia
1628:Norway
1225:. The
1168:where
1080:, the
907:Hence
809:where
718:where
645:stocks
452:Portal
423:Reform
317:Tariff
147:policy
142:Budget
112:Fiscal
102:Social
87:Energy
3542:S2CID
2815:(PDF)
2501:Spain
2489:Italy
2346:Japan
2222:debts
2124:money
2109:bonds
2085:-3.3%
2082:25.8%
2059:+4.0%
2056:16.0%
2033:-0.5%
2030:38.6%
2018:1,000
2015:Spain
2007:-9.7%
2004:21.8%
1992:1,600
1989:China
1981:-6.8%
1978:51.3%
1966:1,600
1963:Italy
1955:-7.5%
1952:54.0%
1946:1,080
1943:1,005
1940:2,000
1929:-7.4%
1926:42.7%
1914:2,100
1903:-8.3%
1900:48.2%
1894:1,300
1891:1,200
1888:2,700
1874:38.0%
1868:1,748
1865:1,400
1862:4,600
1859:Japan
1851:+5.6%
1822:23.8%
1816:3,456
1813:2,162
1219:taxes
641:flows
635:GDP (
502:, or
107:Trade
3488:link
3470:PMID
3460:ISBN
3382:ISBN
3364:2022
3307:help
3282:SSRN
3263:help
3203:ISSN
3168:help
3143:SSRN
3124:help
3099:SSRN
3069:ISBN
2985:2013
2945:ISBN
2924:2011
2835:ISSN
2797:2013
2511:and
2344:and
2181:The
1897:+199
1871:+195
1848:7.6%
1716:and
1706:The
1693:The
1668:and
1209:The
530:. A
510:and
490:The
154:Debt
3624:Tax
3532:doi
3452:doi
3334:doi
3195:doi
2827:doi
2241:or
2119:).
2079:+29
2076:155
2073:150
2070:600
2053:-49
2050:144
2047:150
2044:900
2027:-64
2024:386
2021:384
2001:-31
1998:349
1995:318
1975:-72
1972:820
1969:768
1949:-44
1923:-75
1920:897
1917:835
1845:+50
1842:850
1839:900
1784:GDP
1421:is
1364:If
1076:In
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