Sunday, February 28, 2016

Lunch video-----Does Government Have a Revenue or Spending Problem?

People say the government has a debt problem.
Debt is caused by deficits, which is the difference between what the government collects in tax revenue and the amount of government spending.
Every time the government runs a deficit, the government debt increases.
So what's to blame: too much spending, or too little tax revenue?
Economics professor Antony Davies examines the data and concludes that the root cause of the debt is too much government spending.

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