Questions from Macroeconomics

Q: Can we continue to produce more output every year? Is there

Can we continue to produce more output every year? Is there a limit?

Q: Why do critics charge that fiscal policy has a “big-

Why do critics charge that fiscal policy has a “big-government bias”?

Q: When Barack Obama was campaigning for president in 2008, he proposed

When Barack Obama was campaigning for president in 2008, he proposed more government spending paid for with higher taxes on “the rich.” What impact would those options have on macro equilibrium?

Q: What were the differences in size, content, and expected impact

What were the differences in size, content, and expected impact between the U.S. and Chinese 2009 stimulus packages?

Q: Who paid for the Revolutionary War? Did the deficit financing initiated

Who paid for the Revolutionary War? Did the deficit financing initiated by the Continental Congress pass the cost of the war on to future generations?

Q: In what ways do future generations benefit from this generation’s deficit spending

In what ways do future generations benefit from this generation’s deficit spending? Cite three examples.

Q: What is considered "too much" debt or "too large

What is considered "too much" debt or "too large" a deficit? Are you able to provide any guidelines for deficit or debt ceilings?

Q: If deficit spending "crowds out" some private investment, could

If deficit spending "crowds out" some private investment, could future generations be worse off? If external financing eliminates crowding out, are future generations thereby protected?

Q: A constitutional amendment has been proposed that would require Congress to balance

A constitutional amendment has been proposed that would require Congress to balance the budget each year. Is it possible to balance the budget every year? Is it desirable?

Q: How long would it take to pay off the national debt?

How long would it take to pay off the national debt? How would the economy be affected?