Fiscal Austerity Policies and their Implications - USA

R V Pranay Kumar Reddy, Puralasetti Gowtham

Abstract: Deficits have been raising at both federal and state government levels which led to austerity-focused class war in the USA. In this paper, we analyse the situations that led to this huge fiscal deficit and the policies behind them. Then we show how the New Deal Under President Franklin led the circumstances that currently persist.

Keywords: Policies, tax-cuts, Right-Wing coalition, New Deal