Budget Deficits and Macroeconomic Policy

Booknews

Perkins (economics, U. of Melbourne) argues that economic policies that target the budget deficit can make it harder for a government to accomplish all its main macroeconomic objectives, including low inflation, high employment, and the level of net national wealth. Drawing on the experiences of several industrialized countries, he demonstrates how different forms of government outlay and different forms of revenue can have very different effects on the macroeconomic objectives while having the same effect on the budget balance. Annotation c. by Book News, Inc., Portland, Or.