Budget deficit and GDP growth

[johntavv]

The answer to practice problem 12B says:

a decrease in the long-term average budget deficit as a percent of GDP is pro-growth, because it would be a positive for controlling the current account deficit. But if we are reducing the deficit (so reducing spending) isn’t this anti-growth?

[Rogue_Trader]

Since GDP is growing, LT-average budget deficit should gradually decrease as government revenues (Tax revenues) exceeds government spending and thus Current account deficit will shrink (The country wont finance borrowing by issuing bonds)

The country intentionally runs a deficit in recession the help stimulate the economy and if the budget deficit is shrinking it means Govt spending (social insurance benefits, unemployment benefit) is reduced as long as GDP is expanding.

[crosstheevil]

@Rogue_Trader

Since GDP is growing, LT-average budget deficit should gradually decrease as government revenues (Tax revenues) exceeds government spending and thus Current account deficit will shrink (The country wont finance borrowing by issuing bonds)

The country intentionally runs a deficit in recession the help stimulate the economy and if the budget deficit is shrinking it means Govt spending (social insurance benefits, unemployment benefit) is reduced as long as GDP is expanding.

Do you mean that budget deficit decreases when tax revenues increase at a faster rate than government spending? Besides, more government spending is pro growth or anti growth then?