Deficits
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2171 examples of Deficits in a sentence
The original Pact envisaged a 3%-of-GDP cap on fiscal deficits, save in exceptional circumstances.
Jobs could be eliminated by technology, but not by global competition; and, unsustainable, debt-fueled domestic-demand growth helped to delay the current employment
deficits.
The risks of, say, a trade war or a fiscal crisis (when the projected trillion-dollar
deficits
are reached) are real, apparent, and priced by volatile stock markets.
But all the achievements of the postwar era came into question with the inflation, labor militancy, unemployment, and budget
deficits
of the 1970s.
The idea that a sharp increase in military spending in a (hopefully temporarily) bellicose world should be amortized with some
deficits
is consistent with sound economic policy, but only if the rest of the budget remains "lean."
Hopes nonetheless were pinned on the existence of a large, European-wide market and eurozone member states’ commitment to keeping fiscal deficits, public debt, and inflation under control.
The key problem is simple: until 2008, these countries enjoyed a long boom based on cheap and plentiful credit, which allowed them to finance large current-account
deficits.
The three small Baltic EU members provide an alternative model: they had developed current-account
deficits
of over 20% of GDP during the credit boom, and over the last three years have experienced double-digit GDP contractions.
The large
deficits
will eventually force much higher taxes, such as a national value-added tax similar to those in Europe, or gigantic increases in everyone’s income taxes.
His call for immense
deficits
even once the economy is back to normal, funds are returned from the financial bailouts, and the US is out of Iraq – is simply irresponsible.
The former could give carte blanche to debtor countries to run up their deficits; the latter might perpetuate a two-speed Europe.
But what works for Germany cannot work for the rest of Europe: no country can run a chronic trade surplus without others running
deficits.
They must also allow countries with high unemployment, like Spain, to continue running budget
deficits.
Rules involving targets for cyclically adjusted
deficits
can accomplish both of these goals.
Indeed, the deflationary spiral, particularly in Greece and Spain, is causing output to contract so rapidly that further spending cuts and tax increases are not reducing budget
deficits
and public debt relative to GDP.
The current obsession with government
deficits
and budgetary constraints should not deflect attention from the need for reforms that address the looming retirement crisis confronting many Americans.
Her calm and balanced hand nurtured broad consensus among a Federal Reserve Board characterized by divergent economic philosophies, and she navigated the economy through a slow recovery in a period when fiscal policy was unnecessarily constrained, as duplicitous Republicans hyped the dangers of
deficits.
The European Commission, the European Central Bank, and the German government have erred in insisting on rigid enforcement of the EU Stability and Growth Pact, particularly the 3%-of-GDP cap on fiscal
deficits.
For years, France has funded some of the highest public spending in Europe through budget deficits, despite its commitment to balance the books as part of the EU’s Stability and Growth Pact.
He is proposing tax cuts for the rich that will significantly increase
deficits
and the national debt.
While the European Central Bank’s bond-purchasing scheme has calmed financial markets to a considerable extent, some European economies – including Italy, Spain, Greece, and Portugal – are still at risk, because they are not growing fast enough to narrow their
deficits
and stem the growth of their national debts.
In this situation, full employment could be maintained only by running continuous fiscal
deficits.
Over the last decade, we have watched as the Stability and Growth Pact (in which EU countries pledge to keep their public debts and
deficits
low) has dissipated in a mist of permissiveness.
Not so in much of Africa, which experiences some of the world’s greatest power deficits, and where only two in ten people have access to electricity.
Britain may or may not join the Euro, but the policies adopted by Labour – privatization, low budget deficits, low inflation, an independent central bank – are precisely those it would need if it did decide to join.
Under Euro rules, governments must observe strict limits on their budget
deficits
and public debt.
Over-spending countries – such as the United States and other “Anglo-Saxon” economies – that were over-leveraged and running current-account
deficits
now must save more and spend less on domestic demand.
To maintain growth, they need a nominal and real depreciation of their currency to reduce their trade
deficits.
On the contrary, with their large external deficits, the PIIGS need a sharp depreciation to restore growth as they implement painful fiscal and other structural reforms.
That will lead to double-dip recession, even larger fiscal deficits, and runaway debt.
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