Increased government spending can provide a temporary stimulus to demand and output but in the longer run higher levels of government spending crowd out private investment or require higher taxes that weaken growth by reducing incentives to save, invest, innovate, and work.
Name: Martin Feldstein
Topic: Government
About: NA
Other topics from this author: business finance government science
At Awiseguru, our mission is to empower people to live a better life by helping them in their lives or businesses focus on people, not on paperwork..Read More.....
Usage of awiseguru.com to upload content which is inappropriate or which enables targeting by religion/community/caste/race is prohibited. Please report inappropriate content by writing to us at [email protected] to report.