The New Palgrave Dictionary of Economics

Living Edition
| Editors: Palgrave Macmillan

Budget Deficits

  • William G. Gale
Living reference work entry
DOI: https://doi.org/10.1057/978-1-349-95121-5_1921-1

Abstract

This article describes alternative measures of the federal budget deficit, discusses traditional and non-traditional channels through which deficits can affect the economy, and summarizes research on the effects of deficits on national saving and interest rates.

Keywords

Aggregate consumption Budget deficits Consumption function Crowding out Euler equations Financial market expectations Fiscal policy Generational accounting Interest rates Labour supply National income National saving Public debt Ricardian equivalence theorem Ricardo, D Small open economy view 

JEL Classifications

H4 
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Copyright information

© The Author(s) 2008

Authors and Affiliations

  • William G. Gale
    • 1
  1. 1.