Now consider what happens if the federal government introduces new government spending to combat the recession. How

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Now consider what happens if the federal government introduces new government spending to combat the recession. How will this affect the economy in the short run? As the economy recovers, political pressures lead the government to keep this spending in place. What are some possible long-run consequences of making the increased government spending permanent?

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Principles Of Economics

ISBN: 9781319330156,9781319419769

2nd Edition

Authors: Betsey Stevenson, Justin Wolfers

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