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Explain how reducing a government budget deficit makes

1. Explain the costs and benefits of reducing inflation to zero. Which are temporary and which are permanent?

2. Explain how reducing a government budget deficit makes future generations better off. What fiscal policy might improve the lives of future generations more than reducing a government budget deficit?

3. Give three examples of how our society discourages saving. What are the drawbacks of eliminating these disincentives?

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