Conservatives claim that government borrowing, even when it may crowd out some private investment, generally has a favorable effect on the productive base of the economy.

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Conservatives generally believe in limited government intervention in the economy and prioritize reducing government debt and deficits. They argue that excessive government borrowing can lead to higher interest rates, which can crowd out private investment and slow economic growth. They may also argue that government spending often leads to inefficiencies and waste, and that private sector investment is a more effective way to drive long-term economic growth.

Conservatives Claim That Government Borrowing, Even When It May Crowd