Radicals believe that both deficit spending and budget balancing are short-term solutions that do not address the fundamental problems of the capitalist economy. They argue that a more fundamental change is needed to create a sustainable and just economic system.

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Radicals Claim That

Question 13

Multiple Choice

Radicals claim that

A) neither deficit spending nor budget balancing produces any long-term answers to the capitalist economy.
B) deficits can be a useful tool for economic management if used judiciously.
C) a balanced budget is necessary to keep inflation under control.
D) induced recessions are necessary to spur further growth in the economy.

Correct Answer: