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Stels [109]
3 years ago
5

Do you agree or disagree with this statement: "It is in the best interest of our economy for Congress and the President to run a

balanced budget each year."
Social Studies
1 answer:
horrorfan [7]3 years ago
4 0

Yes, I agree with the statement of  "It is in the best interest of our economy for Congress and the President to run a balanced budget each year".

<h3><u>Explanation:</u></h3>

It sounds like a balanced budget can be  helpful in coping up with fluctuations in government financial accounts or the difference in surpluses and deficits.  But the situation of a balanced budget is completely against the economics terms as it could worsen the severity of economic fluctuations.

This can work for a short period of time but for a long period of time it can disrupt the economy as the fiscal policy need to be flexible to enough to match up  the expense with incomes. A balanced budget could be rigid for the economy. But the rise of interest on domestic debt gives an alarm for drastic fall in economy. Therefore it is better to go by the balaced budget each year.

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