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Austerity Measures

Austerity Measures

Austerity Measures are designed to reduce the deficit. They are implemented by the government in order to lower their debt. The deficit is the difference between what the government receives in taxes and what it spends. In an economy that is growing and creating jobs, it is possible to spend more than you receive in taxes because people have jobs, they’re paying taxes, and they can buy more goods and services. But when an economy is not growing, and unemployment is high, government revenue falls, and it can be hard to lower spending without causing major problems for people.
Austerity measures aim to reduce the deficit without causing major problems for people. This means that many of the measures are aimed at reducing the amount of money that is spent on programs that provide benefits to people. In other words, many of the austerity measures are aimed at reducing the amount of money that government spends on social programs
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