In an election year, two candidates for the prime minister position of Country S have set a debating session on the country's long-run economic future, with each holding a different vision. Candidate A favors holding the line on taxes and increasing government spending, while Candidate B also favors holding the line on taxes but wishes to reduce government spending. The economy of Country S is currently in a recession due to the Covid-19 pandemic, with a high unemployment rate, low inflation level, and negative economic growth.
Assuming Candidate A wins the election and his programs are enacted, the government of Country S would begin to run a deficit budget. Explain the effects of Candidate A's programs on Country S's unemployment rate, inflation level, as well as economic growth.
