Macroeconomics discussion

We are going to debate the U.S. federal budget and the different opinions regarding the need (or not) for a balanced budget.

The comic below exhibits a satire about the people's feelings regarding the federal budget: regardless of the result, they are never happy with it. In 1995, a proposed constitutional amendment that would require a balanced budget passed the U.S. House of Representatives by a wide margin, and failed in the U.S. Senate by only one vote. As a result, the U.S. federal government doesn't have to run on a balanced budget by law, but a number of economists argue it should. In the comic, you can see some of the arguments used by the general public to claim that a balanced budget is not a good end goal, but what are some of the arguments that economists use to claim that it is a good idea? On the other hand, what are the economic arguments presented by balanced budget opponents? Do you agree with the complaints made by the comic characters about deficits or with the complaints regarding surpluses? (Or Both? Or Neither?) Justify your answers.

You are then free to comment/agree/disagree with fellow classmates' posts. If you do disagree, please make sure to clearly explain why.

● Read the prompt above carefully.

● Your post should be at least 6 sentences long ● You are expected to make your own post and comment on at least one other

student’s post.

In your communication with other students, please:

● Expand on or clarify an important point. ● Offer an additional argument to support a position taken in an answer. ● Suggest ways in which an idea could be more clearly expressed. ● Identify passages where you think the writer misunderstood a concept or

applied it incorrectly. ● Disagree with a point or position made in an answer.