KEY TERMS

automatic stabilizers, p. 622

average tax rate, p. 624

distortions, p. 626

full-employment deficit, p. 623

government capital, p. 624 government debt, p. 629 inflation tax, p. 642 marginal tax rate, p. 624 primary government budget deficit, p. 619

seignorage, p. 640

supply-side economics, p. 627

tax rate smoothing, p. 626

►