Present a report regarding the current status of the federal budget and fiscal policies in place in the United States. Consider and explain how the current status of the federal budget and fiscal policy will impact the video game industry over the next 2 years, using economic theory to support the conclusions you draw.

Address current policy and how it will impact your industry, based on theory.

Address the following in your report as appropriate:

• expansionary and contractionary fiscal policy,
• fiscal policies used to close a recessionary gap and an expansionary gap, and
• the rationale for budget deficits.