balanced budget

(redirected from Balanced Budget Multiplier)
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  • noun

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a budget is balanced when current expenditures are equal to receipts

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Section III examines the balanced budget multiplier as well as derives a graphical illustration.
Since the aggregate supply function will play a significant role on evaluating the balanced budget multiplier, we now turn to derive this function in detail.
We are now in a position to reevaluate the balanced budget multiplier.
It indicates that an increase in government expenditures fully covered by taxes will raise the national income, that is, the balanced budget multiplier is positive.
By extending the standard AD-AS analysis, this paper reexamines the conventional belief concerning the balanced budget multiplier through introducing the role of working capital on production, which usually receives wide attention in the structuralist macromodel.