Answer the following short essay questions about U.S. fiscal policy. While this is not a paper, you must still properly cite your answer and write in full sentences.
- How large is the current U.S. budget deficit and how has it changed over the last few years? 2 points
- What is the total amount of U.S. debt and how has this changed in the last few years? Who holds this debt? 2 points
- How does the current administration propose reducing the national debt? Do you think this plan is economically sound and achievable? 4 points
- What are the potential economic consequences (short and long run) of large budget deficits/debt? 4 points
- How have recent spending cuts impacted the economy? 4 points
- What additional/different spending cuts would you recommend and why? 4 points
Your total assignment should be 3-7 pages long and submitted in a MS Word document.
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