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The main purpose of this paper is to assess the impact of the deficit on GDP growth for the Eurozone area, using panel data for a period from 1995 to 2015, with a total of 257 observations. In order to conduct the study and come up with results, we have used a multiple linear regression model with the least-squares regression. Consequently, in order to test the data used in the model, we have applied diagnostic tests, such as the Durbin-Watson test to analyze the correlation of serial correlation, as well as the Breusch-Pagan test for heteroskedasticity. The test results prove that there is no heteroskedasticity and at the same time there are strong indications that the model has no relation between serial correlation. The results presented in our study show that the variables, deficit ratio to GDP, is statistically significant with a positive sign and as a result, we have the growth of the deficit ratio with GDP having a positive impact on the economic growth ratio. Keywords: Fiscal deficit, GDP Growth Rate, Correlation, Regression

There have been three major tax cuts in the modern US history: 1) the Tax Cuts and Jobs Act of 2017; 2) the Economic Growth and Tax Relief Reconciliation Act of 2001; and 3) the Economic Recovery Act of 1981. Each of the first two major tax cuts had increased the federal debt. Just about everybody agrees that US federal debt is on an unsustainable path. Can we afford another major tax cut without trigging a major economic disaster such as the Great Recession of 2007-2009? This article discusses an overview of this new law, the impact of the first two major tax cuts on the federal debt, the impact of the Tax Cuts and Job Acts on the US government debt, and its consequences.