Over short time periods, deficits can help the economy cope with shocks.

Name: Over short time periods, deficits can help the economy cope with shocks.
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Deficits allow the government to increase spending or decrease taxes, which can provide a boost to the economy and help it respond to unexpected events or crises. However, over the long term, persistent deficits can lead to higher debt levels and have negative economic consequences.

Over Short Time Periods, Deficits Can Help the Economy Cope