Debt and Deficits: Economic and Political Issues
By Nathan Perry
Debt and deficits have been a major news topic, and the source of much economic and political controversy. This module reviews the essentials of budgets, the history of surpluses and deficits, and the role of the national debt providing students with an in-depth insights into the issue of government debt. The module relates the facts about deficits and debt to classical and Keynesian theories on the impacts of deficits, discussing issues such as crowding out and endogenous money. A balanced assessment of arguments about the impact of debt will help students to develop informed opinions. The module has been updated to take account of the impact of the 2017 US tax cuts on recent and projected deficit increases.
This 45-page module is suitable for several weeks of class time.