Due to high government spending and low interest rate in the period 2020-2022 to deal with Covid-19, the U.S. economy is now facing a high inflation situat
Due to high government spending and low interest rate in the period 2020-2022 to deal with Covid-19, the U.S. economy is now facing a high inflation situat
Economics Today and Tomorrow, Student Edition
1st Edition
ISBN:9780078747663
Author:McGraw-Hill
Publisher:McGraw-Hill
Chapter17: Stabilizing The National Economy
Section: Chapter Questions
Problem 24AA
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Due to high government spending and low interest rate in the period 2020-2022 to deal with Covid-19, the U.S. economy is now facing a high inflation situation. Many economists thought that we should cut government spending and raise interest rate to reduce national debt and inflation. Other economists thought that even though inflation is high, the government should raise spending to help the poor.
Why do these economists disagree?
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