What is crowding out?
How can an increase in the government budget deficit lead to a change in the trade deficit?
Explain how the government can adjust its behavior in response to a decrease in tax revenue.
How does the debt-to-GDP ratio relate to the real interest rate? Explain.
How might budget deficits affect long-term economic growth?
Explain Ricardian equivalence.
Why are many economists skeptical about the validity of Ricardian equivalence?