economics – Budget deficit paper writing service

Using an appropriate diagrammatical framework to model your answer, discuss the long term effects (in the key textbook Blanchard these are referred to as the “medium run” effects) of a policy aimed at cutting the budget deficit. In particular explain how this would change the composition of output of the economy? Briefly comment on if; recent changes in the macroeconomic monetary variables for the UK economy seem to fit in with your explanation for the question above?

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