1 of 10

Slide Notes

DownloadGo Live

Copy of Government budget

No Description

PRESENTATION OUTLINE

Government budget

mr. melkonian
Photo by kenteegardin

budget plans usually announced in the spring

3 scenarios arise 

deficit budget

spent more money than it collected from taxes-needs to borrow money
Photo by wstera2

surplus budget

collected more tax money than spent-extra left over

balanced budget

spent equal to the amount collected by taxes

debt

total amount that a government owes to fund deficit budgets
Photo by Earthworm

different aims for budget

until 1930s-go for balanced budget

problem is recession will get worse if you don't spend 

you're either cutting back spending or increasing taxes

but... Aggregate demand is still being held back

Untitled Slide