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onary and contractionary fiscal policies? What are their policy instruments? How are they used to deal with the inflationary gap and recessionary gap?...

  • What are the expansionary and contractionary fiscal policies? What are their policy instruments? How are they used to deal with the inflationary gap and recessionary gap? Which do you think is more appropriate today?
  • Should the government balance its budget? If you think it should, what steps do you suggest that it take to balance its budget?
  • What is the relationship between budget deficits and national (public) debt? Why has the U.S. national debt been increasing for decades?
  • Should the tax laws be reformed to encourage saving? Do you think consumption tax is better than income tax?
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