The role of fiscal policy is to counteract undesirable trends-- to push the economy out of recession and to slow it down if it becomes overheated and inflation occurs. If the economy is headed downward into a recession, fiscal policy is often used to stimulate the economy. ... He and his followers believed that the way to combat the prevailing recessionary climate was not to wait for prices and wages to adjust but to engage in expansionary fiscal policy. ... The Keynesian way of thinking does tend to overlook secondary effects that fiscal policy can have on credit market conditions. ... Thi...

• Word Count: 714
• Approx Pages: 3
• Grade Level: Undergraduate

The fiscal cliff fight of 2012-2013 has finally come to an end. ... The deal made regarding the fiscal cliff did little to decrease the annual deficit, almost $1.1 trillion last year. ... Taxes: The fiscal cliff debate centered on tax hikes for the rich. ... These indicators include interest rates, confidence or expectations, and Government policies and Federal Deficit. The Government has the means to manipulate these variables through two market intervention tools, specifically the fiscal policy and the monetary policy (Patil, 2012). ...

• Word Count: 1445
• Approx Pages: 6
• Has Bibliography
• Grade Level: Undergraduate

The Japanese economic decline of the 1990's can be attributed to several things: poor growth performance, serious fiscal problems, weak labor market conditions, weakening of the trade and external accounts of the country, and excessively loose stance of macroeconomic policies. ... Serious fiscal problems: Large and growing public debt to GDP ratio, in 1992 it was 63% and rose to 89% by 1996. ... Excessively loose stance of macroeconomic policies: Very loose monetary policy to stimulate recovery and save the collapsing banking system and the nominal interest rate was close to zero...

• Word Count: 347
• Approx Pages: 1
• Grade Level: Undergraduate

The third and the best solution how to increase a living standard of Slovaks is to use a fiscal policy. Fiscal policy is done by government and it is based on two factors. ... Fiscal policy is one of the most using policies in the democratic countries in the world. The basis of fiscal policy was given by J. ... Fiscal policy is not easy to implement but by looking into the past of other countries where it worked and resulted in wealth of the countries, why not to use it? ...

• Word Count: 1457
• Approx Pages: 6
• Grade Level: High School

To meet these objectives the government must place policies such as fiscal, monetary, trade and income policies. Fiscal policy is the deliberate action of the government to change its levels of income and expenditure, through the annual budget. ... Monetary policy can also raise the level of economic activity. ... Trade policies influence the exchange rate and determines the levels of production for Australian industries. ... Trade policies help the economy by encouraging Australians to buy Australian products. ...

• Word Count: 425
• Approx Pages: 2
• Grade Level: High School

This year's Budget projects revenue of $416.9b against expenditure of $450.6b, resulting in a total fiscal balance of -$37.1b or -2.2% of our GDP. ... Despite this, the Government has employed many discretionary changes in fiscal policy, to stimulate aggregate demand and supply in the economy, and thus, increase economic growth. ... A major objective of fiscal policy is maintain internal balance, by creating jobs, keeping inflation within its target range and redistributing income in a fair manner. ... Income inequality is also combated through policies that increase employment, as indivi...

• Word Count: 1386
• Approx Pages: 6
• Grade Level: Undergraduate

There are two main ways through which this is achieved: it includes the implantation of the expansionary fiscal policy and the expansionary monetary policy (Jasson, 2005; Ferran et al., 2012). The expansionary fiscal plans basically involve the introduction of changes in the spending and/or taxation with the aim of influencing the aggregate demand: tax cuts in terms of income taxes for instance boost that disposable income of individuals, prompting them to spend more. ... On the other hand, monetary policy involves the cutting down of interest rates in the aim of increasing consumer expenditu...

• Word Count: 629
• Approx Pages: 3
• Has Bibliography
• Grade Level: Undergraduate

There are two main ways through which this is achieved: it includes the implantation of the expansionary fiscal policy and the expansionary monetary policy (Jasson, 2005; Ferran et al., 2012). The expansionary fiscal plans basically involve the introduction of changes in the spending and/or taxation with the aim of influencing the aggregate demand: tax cuts in terms of income taxes for instance boost that disposable income of individuals, prompting them to spend more. ... On the other hand, monetary policy involves the cutting down of interest rates in the aim of increasing consumer expenditur...

• Word Count: 629
• Approx Pages: 3
• Has Bibliography
• Grade Level: Undergraduate

In addition to the effects of import substitution policies, the post-World War II Argentine economy further struggled because of military rule and internal conflict. From the late 1940s to 1980s bad economic policies and political turmoil resulted in a stagnating economy. The government would run fiscal deficits because of irresponsible spending and low tax revenues from the poor economy, and to fix this problem would print new money, resulting in variable rates of inflation. ... By adopting this policy, the hope was a control on the country's hyperinflation and a restored confidence i...

• Word Count: 728
• Approx Pages: 3
• Grade Level: Undergraduate

This paper looks again at the U.S. deficit debate of the 1980s, this time with the benefit of the Commerce Department's newly revised data for that period and also in light of the experience of the 1990s when sizeable budget surpluses replaced chronic large deficits. In the 80's ran by Reganomics th...

• Word Count: 282
• Approx Pages: 1
• Grade Level: High School

Even though this new economic plan was unstable, it was definitely much more successful than the Autarky economic policy. ... It was a moderately restrictive monetary policy, and an income policy with a commitment to begin structural reform. ... Because the policies of supply and demand, certain measures have been taken. ... Since then, and in all regard to need, monetary and fiscal policy has been provided. To go with these policies of restrictive demand and more flexible supply, the government has tried to stimulate an income policy on several occasions. ...

• Word Count: 2349
• Approx Pages: 9
• Grade Level: Undergraduate

This is the reason why people were so content with their laissez faire economic policy. However, once the Great Depression hit this policy became inadequate which gave rise to Keynesian economics. ... The majority of Keynesians now believe that monetary and fiscal policies affect the economy; however, this used to not be widely accepted by all Keynesians. ... Meanwhile, during the 1990s boom, Keynesian economics faded away from national fiscal policy without too much controversy. ... This is why governments typically invoke laissez-faire policy during a boom. ...

• Word Count: 1814
• Approx Pages: 7
• Grade Level: Undergraduate

Slow and Steady: The Road to Recovery Osama Bin Laden impacted America's perception forever and has influenced the United States" economy in many ways. After one terrible day in mid September, America's future was changed and our economy was altered. Though some speculate that Osama Bin Laden's...

• Word Count: 616
• Approx Pages: 2
• Grade Level: Undergraduate

The farmers are also benefitted through this policy as shades are provided for the crops and to further protect the biodiversity and forest ecosystem. ... Health and Safety The policy also help the employees to gain knowledge of various machines in order to avoid accidents in the organisation. ... In an open economy, government policy that affects national income and interest rates also affects supplies of and demands for foreign currencies. ...

• Word Count: 6987
• Approx Pages: 28
• Has Bibliography
• Grade Level: Undergraduate

Social partnership is usually concerned with areas of economic and social policy and might be based on a binding agreement or declaration of intent. ... Social Partnership does not necessarily require an institutional setting and can be described as a mode of policy making characterized by actively seeking compromise (Boyd, 2002). ... These burdens included unemployment, fiscal deficits, declining foreign exchange and the widening external deficit between the late 1980s and early 1990s. ... Social partnership became the backbone of Irish economic policy (Government of Ireland, 1987). ...

• Word Count: 5360
• Approx Pages: 21
• Has Bibliography
• Grade Level: Undergraduate

Changes in Policy Hodgson (2011), describes how all the above had implications on policy. ... The IMF (2011) has not only identified problems has acted upon them and is urging for policy developments. ... In some countries, the effective use of policy instruments by both governments and social partners) has helped to ease the burden on working families and stabilize the economy. Active labour market policies and effective labour market institutions have proved their worth in the crisis, and should be maintained and strengthened. ... Given high unemployment and fiscal constraints, there was a r...

• Word Count: 1610
• Approx Pages: 6
• Has Bibliography

Some of the factors contributing to the vast improvement in inflation include austerity measures which have reduced wage growth, a determination to keep the exchange rate stable against major European currencies, the sale of inefficient state run enterprises and a willingness amongst policy makers to avoid inflationary policy measures. ... After almost a decade of Papandreou policies, inflation in Greece became deep-rooted. Economic policies since the late 1980's have recognized the shortcomings of Greece's inflation performance and partly as a result of pressure from the European Un...

• Word Count: 1623
• Approx Pages: 6
• Grade Level: High School

State of the Economy It is difficult to declare a definite economic state. To declare that the nation is in a recession may be a bit of an overstatement, but it is also difficult to ignore the fact that stock market prices are at some of its lowest points in history. An argument can be made b...

• Word Count: 813
• Approx Pages: 3
• Has Bibliography

Welfare is one of America's most important social policies aimed at helping the poor. ... Over the last five years, welfare caseloads have become predominantly urban according to a report done by the Brookings Institution Center on Urban and Metropolitan Policy. ... Because the poverty population is disproportionately concentrated in big cities, the cities are obligated to spend more of their own fiscal resources per resident to combat poverty as compared to smaller cities, especially most suburbs with a lower percentage of poor residents. ... The Personal Responsibility and Work Opport...

• Word Count: 1729
• Approx Pages: 7

Monetary policy is the main line of defence for government to tackle inflation as it is the fastest to affect the economy while fiscal policy plays a support role in maintaining low inflation. ... Other factors such as stance on macroeconomic policies, economic constraints, technology advancement and the inflexibility of the labour market will also affect the level of unemployment. ...

• Word Count: 1503
• Approx Pages: 6
• Has Bibliography
• Grade Level: Undergraduate

With the unemployment rate still near ten percent in the United States (Romer, 2010), and of those unemployed almost half have been out of work for over 26 weeks (Policy and Practice, 2010), the issue is the nation's well being, not its expenditures. ... He was seeking to defend his policies on stimulus spending and his promotion of programs such as his Troubled Asset Relief Program (TARP). Critics claim that the spending by the current government on bailouts and the TARP were fiscally irresponsible and did not have that much of an effect on the economy. ...

• Word Count: 1700
• Approx Pages: 7
• Has Bibliography
• Grade Level: High School

In his personal statement pertaining to defense spending and foreign affairs, he claimed, "I want America to be the most strongly defended nation in the world, but I oppose our current foreign policy that stretches our troops thin across the globe so we can play world policeman" (Paul). ... Additionally, the Pentagon's budget will shrink by more than $75 billion over the next two years with deeper cuts if sequestration returns in the fiscal year of 2016. ...

• Word Count: 1067
• Approx Pages: 4
• Grade Level: High School

This may be due to the government and central banks introducing wide-ranging policies, including sizeable fiscal stimulus, large reductions in policy interest rates, guarantees of bank debt issuance, and in some cases, sizeable government ownership of troubled financial institutions. ...

• Word Count: 2267
• Approx Pages: 9
• Has Bibliography
• Grade Level: Undergraduate

The economic stimulus applied by the Australian government to promote recovery included expansionary monetary policy, with fifteen cuts in interest rates between January 1990 and July 1993. ... Fiscal policies were also applied with One Nation Statement released in February 1992, providing 2.3billion dollars of extra spending and tax cuts to promote recovery and confidence in the econom...

• Word Count: 2293
• Approx Pages: 9
• Grade Level: Undergraduate

(Adams .D 1988) Bias of the policy environment against the Non-Farm Rural Sector. In most developing countries, the generally small-scale non-farm sector in rural areas faces a general policy environment that is biased against it. ... Ignorance about institutional support- Projects, instead of policies, has been the primary tools to encourage development of rural small-scale enterprise. The biggest problem with such support is the ignorance of people about such policies. ... It is thus difficult to provide broad policy prescriptions for promoting the non-farm employment as a whole, or even ...

• Word Count: 2539
• Approx Pages: 10
• Has Bibliography
• Grade Level: High School