Question

Which of the following groups of economists is most likely to favor annually balanced federal budgets?

1) Keynesian economists
2) Monetarist economists
3) Supply-side economists
4) Austrian economists

Answer 1

Austrian economists are most likely to favor annually balanced federal budgets.

The group of economists most likely to favor annually balanced federal budgets is Austrian economists.

Austrian economists believe in limited government intervention in the economy and emphasize the importance of fiscal discipline. They argue that government deficits and excessive spending can lead to unsustainable levels of debt and inflation, which can negatively impact economic growth in the long run.

While Keynesian economists, Monetarist economists, and Supply-side economists may have different views on fiscal policy and government intervention, they are less likely to prioritize balancing the federal budget on an annual basis.