Government deficits and debt Macroeconomics Stabilization: Fiscal and Monetary Policies Government deficits and debt Questions What is a fiscal cliff that a government can have occur? How do government budget deficits lead to inflation? Question #817c5 How can government spending affect inflation? What does discretionary fiscal policy refer to? How can fiscal policy affect inflation? How does fiscal policy differ from monetary policy? Stabilization: Fiscal and Monetary Policies View all chapters Demand-side effects Supply-side effects Policy mix Government deficits and debt Prev