"Economists believe that borrowings are good provided if you make profits out of borrowings. However, it will be costly if borrowings are used to finance revenue expenditure".

With reference to one of the Pacific Island Countries (PICs)

a) the advantages of Deficit financing being an instrument of economic development

b)The limitations of Deficit financing being an instrument of economic development

c)Suggested recommendations to eliminate a government deficit

Hint: Discuss 5 advantages, 5 Disadvantages and 3 recommendations.