Increase taxes or reduce government spending Government budget balance

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the government surplus/deficit of struggling european countries according european sovereign debt crisis: italy, cyprus, portugal, spain, greece, united kingdom , ireland against eurozone , united states (2000–2013).


if reduction in structural deficit desired, either revenue must increase, spending must decrease, or both. taxes may increased everyone/every entity across board or lawmakers may decide assign tax burden specific groups of people (higher-income individuals, businesses, etc.) lawmakers may decide cut government spending.


like taxes, decide cut budgets of every government agency/entity same percentage or may decide give greater budget cut specific agencies. many, if not all, of these decisions made lawmakers based on political ideology, popularity electorate, or popularity donors.







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