The budget deficit of the Government. Because they are spending more than revenue in the fiscal year the Government will agree to a set budget deficit but not too much? When government deficits, it will bring the reserve but if used a lot. It will affect the fiscal stability and affect the exchange rate and the confidence of the foreign country Thailand. The Government has to resolve two major ways to increase taxes and borrowing. The increase of tax revenues will decrease and the purchasing power of citizens and businesses, and will affect the economic expansion, the Government often choose the public debt or loan.However, there was too much public debt will create problems in the long run because these debts are a burden that the Government must pay back every year. If there is too much will cause each year, countries are required to repay the debt is high and obscure budget funds will be crowded, to develop the country. And the public debt are too high can affect the reliability of the country Thailand.
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