Suppose that we reduce the federal budget deficit (in billions of dollars)in year 1 from 300 to 150 and in year 2 from 150 to 50.During these two years the national debt will

Question

Quizplus · Accepted Answer

The national debt increases by the amount of the deficit each year. In year 1, the deficit is 150, and in year 2, it is 50, so the national debt rises by 150 + 50 = 200 over the two years.

Suppose That We Reduce the Federal Budget Deficit (In Billions