Question

(What is a deficit budget?Describe it's merits and demerits.
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Answer 1

Answer:

It is considered one of the positives of deficit spending. ... Running a budget deficit assures that the government bodies think twice before making unnecessary investments. The interest rates matter as well, and a higher interest will force them to think of plans to pay back the debt as soon as possible

Answer 2

Explanation:

It is considered one of the positives of deficit spending. ... Running a budget deficit assures that the government bodies think twice before making unnecessary investments. The interest rates matter as well, and a higher interest will force them to think of plans to pay back the debt as soon as possible.

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