A Balanced Budget Amendment would be

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A Balanced Budget Amendment would be procyclical because it would require the government to balance its budget regardless of the state of the economy. This means that during periods of economic downturn, when tax revenues are low and government spending is typically higher, the government would be forced to cut spending or raise taxes to balance the budget. This would exacerbate the downturn by reducing economic activity and may deepen the recession. Similarly, during periods of economic growth, when tax revenues are high and spending may be lower, the government would be required to keep spending in check or lower taxes, potentially slowing down growth by reducing government stimulus. Therefore, implementing a Balanced Budget Amendment could be detrimental to the economy in both good and bad times.

A Balanced Budget Amendment Would Be