Readers Question: How can tax cuts stimulate the economy when government has to borrow the money?
It seems to me that with a tax cut, the government is adding money to the economy but is also removing money from the economy by borrowing to finance the tax cut. So where is the stimulus?
http://www.economicshelp.org/blog/4618/economics/can-tax-cuts-stimulate-economic-growth/#more-4618