During 1993 when the economy was growing slowly, President Clinton recommended a series of spending cuts and

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During 1993 when the economy was growing slowly, President Clinton recommended a series of spending cuts and tax increases designed to reduce the deficit. These were passed by Congress in the Omnibus Budget Reconciliation Act of 1993. Some who opposed the bill argued that the United States was pursuing a “contractionary fiscal policy” at precisely the wrong time. Explain their logic.

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Principles of Macroeconomics

ISBN: 978-0134078809

12th edition

Authors: Karl E. Case, Ray C. Fair, Sharon E. Oster

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