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    When assessing the effects of the budget surplus, list the assumptions you are making.

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    https://brainmass.com/business/foreign-exchange-rates/public-finance-budget-surplus-470313

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    The government budget surplus has two effects. First the budget surplus stabilizes prices when inflation is very high and the second is to slow down the speed of economic growth. One has to make several assumptions to realize these affects. The first assumption is that the budgetary surplus will have these effects if the interest rates remain stable. If the ...

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