Question

Do you agree or disagree with this statement: “It is in the best interest of our economy for Congress and the President to run a balanced budget each year.” Explain your answer.

Answer 1

I do not agree with the given statement.

It might not be in the best interest of the economy for the Congress and the President to run a balanced budget each year. Having a balanced budget might not be always possible. During a recession, what an economy is need spending to stimulate the economy. While during an expansion, the government should be trying to run a budget surplus by increasing taxes or cutting spending or both. Thus, having a balanced budget might not be in the best interest of the economy always.