Deficits
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2171 examples of Deficits in a sentence
All have in common not only economic and policy weaknesses (twin fiscal and current-account deficits, slowing growth and rising inflation, sluggish structural reforms), but also presidential or parliamentary elections this year.
To overcome stagnation government should run bigger deficits, financed directly by printing money.
Thus, it is not a good idea to run persistent current-account
deficits
and become dependent on (temporarily) low-cost foreign capital.
They are instead pursuing fiscal consolidation, following the immense explosion of public
deficits
and debt in the 2008-09 recession, and have called for cutting
deficits
in half by 2013 and stabilizing the government debt-to-GDP ratio by 2016.
Thus far, the Obama administration has followed the opposite strategy, letting rip with new spending, while hoping that concern over
deficits
and debt will lead to pressure for higher taxes, possibly even a European-style value-added tax.
Instead, there has been a backlash against the barrage of federal government spending, deficits, and debt.
Third, the administration issued its mid-year budget update, which projects huge
deficits
as far as the eye can see.
And, of course, the longer-term deficits, driven by baby-boomer retirements and rising health and pension costs per beneficiary, grow progressively worse thereafter (the commission will also recommend how to get the longer-term deficit under control).
This remarkable evasion is the first time the House has not passed a budget since the procedural reforms 35 years ago created the congressional budget committees and rules that legislators were supposed to use to control
deficits.
So who will now counsel Obama that piling on additional
deficits
and debt to fund a vast expansion of spending is bad economics, that the costs are likely to far outweigh the benefits, and that raising taxes will do permanent long-term damage to the economy?
Falling incomes and rising
deficits
could translate into less stable health-insurance markets and cuts to Medicaid, which reimburses prescriptions for naloxone, a drug used to reverse opioid overdoses.
The monthly US trade deficit reached $54 billion in September, exceeding in nominal terms the
deficits
recorded every month from 2009 to 2017.
Investors and banks are suddenly unwilling to finance current-account
deficits
with short-term debt.
The continued growth of US trade deficits, particularly since the mid-1980s, reflects monetary expansion by the Federal Reserve, which has inflated real estate and stock prices; thanks to the resulting wealth effect, consumption has increased and saving has decreased.
However, because prices of goods from these economies are higher, a shift in US imports would cut the bilateral deficit with China, but cause its
deficits
with these countries to rise.
Even so, the danger of fiscal
deficits
and inflation persist in several countries.
It is important that the European Commission not allow France to carve out special rules for itself in competition policy, as it appears to be doing with its budget
deficits.
The Risky RichNEW YORK – Today’s swollen fiscal
deficits
and public debt are fueling concerns about sovereign risk in many advanced economies.
But, in large part – and with a few exceptions in Central and Eastern Europe – emerging-market economies improved their fiscal performance by reducing overall deficits, running large primary surpluses, lowering their stock of public debt-to-GDP ratios, and reducing the currency and maturity mismatches in their public debt.
More ominously, monetization of these fiscal
deficits
is becoming a pattern in many advanced economies, as central banks have started to swell the monetary base via massive purchases of short- and long-term government paper.
Eventually, large monetized fiscal
deficits
will lead to a fiscal train wreck and/or a rise in inflation expectations that could sharply increase long-term government bond yields and crowd out a tentative and so far fragile economic recovery.
But if monetized fiscal
deficits
are allowed to run, the increase in long-term yields will put a chokehold on growth.
Then a decade of nominal-wage growth that out-paced productivity gains led to a rise in unit labor costs, real exchange-rate appreciation, and large current-account
deficits.
If America’s Democrats lose in the mid-term elections this November, there is a risk of persistent fiscal
deficits
as Republicans veto tax increases while Democrats veto spending cuts.
Monetizing the fiscal
deficits
would then become the path of least resistance: running the printing presses is much easier than politically painful deficit reduction.
Annual GDP growth slowed significantly in the last quarter, to 4.4%, consumer price inflation is high, and the current-account and budget
deficits
last year were too large.
The consequences have been high internal and external
deficits.
For the most part, India’s current growth slowdown and its fiscal and current-account
deficits
are not structural problems.
Although all of the Fragile Five – identified based on their twin fiscal and current-account deficits, which make them particularly vulnerable to capital-flow volatility – have adopted some macroprudential measures since the global financial crisis, the mix of such policies, and their outcomes, has varied substantially.
China and most of the other emerging Asian economies have strong government balance sheets – the GDP shares of their budget
deficits
and public debt are relatively small.
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