Main Page Contact Register Log In

"However, in the long run it will only make your problems worse."

Why? You have to pay a loan later, but if you help the economy now, you'll have more money later, so it may very well be worth it.

There are two scenarios: (1) this is a one-time occurrence. When economy improves, you pay down the debt, and everything is OK; and (2) this happens on a regular basis, and the debt only accumulates. I think the author meant (2). I guess the important questions are: (1) does deficit spending really improve the economy; and (2) if it does, does the government pay the debt.
Replies (1)