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Smart Reasoning:

C&E

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Qaagi - Book of Why

Causes

Effects

orderto influencethe economy ( fiscal policy

the incentives and power structure of the government ... in turninfluencesfiscal policies

the timeto leadexpansionary fiscal policies

government officesinfluencefiscal policies

the Board of Commissioners(passive) set byfiscal policies

the needto designfiscal policies

likelyto influencefiscal policies

That researchcan influencefiscal policies

Councilsetsfiscal policies

We call on governments ... , sto deliberately designfiscal policies

We call on governmentsto ... designfiscal policies

> articles which are likelyto influencefiscal policies

City Councilsetsfiscal policies

government offices ... taxpayersinfluencefiscal policies

by Congress and the Federal Reserve(passive) set byfiscal policies

to encourage growth , such as low interest rates(passive) are designedfiscal policies

government offices ... taxpayers dollarsinfluencefiscal policies

by the International Monetary Fund(passive) designed byfiscal policies

Government bodiesinfluencefiscal policies

This victory for common sensehas ... influencedfiscal policies

This thinking ... the then famous Keynesian thinkingledexpansionary fiscal policies

high levels of public debt and default(passive) have been strongly influenced byfiscal policies

expanding spacesto influencefiscal policies

so that they support the economic recovery by focussing on productivity - enhancing measures(passive) should be designedFiscal policies

lowering them during boomscausingfiscal policies

expanding spaces ... in order to advance for social justiceto influencefiscal policies

to stabilize and diversify budgets and economies in coal producing states and communities to help insure long - term prosperity(passive) should be designedFiscal policies

to stabilize and diversify budgets and economies in coal producing states and communities(passive) should be designedFiscal policies

to stimulate growth and reduce unemployment at a time when the government?s fiscal deficit(passive) is designedThe fiscal policy

to stimulate growth and reduce unemployment at a time when the government?s fiscal deficit is increasing(passive) is designedThe fiscal policy

Budget decisions ... the governmentsetsfiscal policy

any policy in government ... taxesinfluencesfiscal policy

the increase in government borrowingresultingfrom an expansionary fiscal policy

any policy in governmentinfluencesfiscal policy

to weigh on domestic demand as the government aims to reduce the deficit(passive) is setFiscal policy

that the Finance Secretary acting in self - interest would get the Bank to fund the budget through accommodative monetary policycausingfiscal policy

by changes in government(passive) caused byfiscal policy

changes in government(passive) caused byfiscal policy

that the Government usewhen settingfiscal policy

the incentives and power structure of government ... in turninfluencesfiscal policy

in fiscal deficitsresultedin fiscal deficits

to debt accumulationleadto debt accumulation

to higher budget deficits and higher borrowingledto higher budget deficits and higher borrowing

to the widening of external imbalancescontributedto the widening of external imbalances

in currency depreciationresultin currency depreciation

bond markets to increasecausingbond markets to increase

in higher borrowing costsmight resultin higher borrowing costs

to higher interest rateswill leadto higher interest rates

to higher interest rateswould leadto higher interest rates

normallyleadnormally

bond marketscausingbond markets

in Abu Dhabisetin Abu Dhabi

the AD curveinfluencethe AD curve

a deterioration in the trade balancecausea deterioration in the trade balance

to a tripling of the debt - to - GDP ratio , which went from the modest figure of 34.5 % in 1981 to the triple digits by the 90sledto a tripling of the debt - to - GDP ratio , which went from the modest figure of 34.5 % in 1981 to the triple digits by the 90s

to a tripling of the debt - to - GDP ratio , which went from the modest figure of 34.5 % in 1981 to the triple digits by the 90s.[19ledto a tripling of the debt - to - GDP ratio , which went from the modest figure of 34.5 % in 1981 to the triple digits by the 90s.[19

some increase in aggregate spending ... with larger increases the further the economy is from full employmentwould causesome increase in aggregate spending ... with larger increases the further the economy is from full employment

to a higher exchange rate ... crowding out net exports and any positive aggregate demand effect from fiscal stimuluswill leadto a higher exchange rate ... crowding out net exports and any positive aggregate demand effect from fiscal stimulus

to an increase in real GDP larger than the initial rise in aggregate spendingleadsto an increase in real GDP larger than the initial rise in aggregate spending

an increase in GNP , an appreciation of the currency , and a decrease in the current account balance in a floating exchange rate system according to the AA - DD modelcausesan increase in GNP , an appreciation of the currency , and a decrease in the current account balance in a floating exchange rate system according to the AA - DD model

to an increase in real GDPleadsto an increase in real GDP

to the increased deficit and debt levelshas contributedto the increased deficit and debt levels

an increase in output from the goods side of the economycausesan increase in output from the goods side of the economy

an increase in GDP(passive) caused byan increase in GDP

to an increase in aggregate demandleadsto an increase in aggregate demand

to increase in aggregate demandwill leadto increase in aggregate demand

to an increase in aggregate demandleadsto an increase in aggregate demand

GDP and unemployment level in this countryinfluencedGDP and unemployment level in this country

to a larger government budget deficit or a smaller budget surplusleadsto a larger government budget deficit or a smaller budget surplus

Fiscal policy and effect on aggregate demand in an open economycausesFiscal policy and effect on aggregate demand in an open economy

macroeconomic conditions by adjusting spending and taxation policies to alter aggregate demand When aggregate demand falls below the potential output of the economyinfluencemacroeconomic conditions by adjusting spending and taxation policies to alter aggregate demand When aggregate demand falls below the potential output of the economy

interest rates to increasecausinginterest rates to increase

interest rates to rise which reduces business investment , limiting the effects of the fiscal expansioncausesinterest rates to rise which reduces business investment , limiting the effects of the fiscal expansion

to higher outputwill leadto higher output

to growth in activity and employmentwill leadto growth in activity and employment

inflation to * fallcausesinflation to * fall

interest rates to rise , thereby reducing investment spendingcausesinterest rates to rise , thereby reducing investment spending

to inflationdoes ... leadto inflation

inflationmay ... causeinflation

interest rates to risecausesinterest rates to rise

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Smart Reasoning:

C&E

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