How are federal budget surpluses and deficits affected


Problem

1. Why is a $100 billion increase in government spending for goods and services more expansionary than a $100 billion decrease in taxes?

2. What is the difference between discretionary fiscal policy and automatic stabilizers? How are federal budget surpluses and deficits affected by the business cycle?

The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.

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Macroeconomics: How are federal budget surpluses and deficits affected
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