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Fiscal Policy

Macroeconomics

How Fiscal Policy Affects Aggregate Demand and the Economy

Updated on September 3, 2022 · By Ahmad Nasrudin Tag: Aggregate Demand, Fiscal Policy

How Fiscal Policy Affects Aggregate Demand and the Economy

Fiscal policy affects aggregate demand and economic activity through taxes and government spending changes. For example, tax cuts increase aggregate demand and stimulate economic growth. Unlike businesses and households, taxes and spending changes

Tag: Aggregate Demand, Fiscal Policy

Macroeconomics

Keynesian: Meaning, The Main Thoughts

Updated on September 3, 2022 · By Ahmad Nasrudin Tag: Fiscal Policy, Keynesian

Keynesian economics is an economic theory that holds the view of John Maynard Keynes. Keynes holds that the government - through its fiscal budget - has a strategic role in influencing the economy. He believes the government needs to change

Tag: Fiscal Policy, Keynesian

Macroeconomics

Fiscal Policy: Types, Pros and Cons

Updated on January 31, 2020 · By Ahmad Nasrudin Tag: Economic Policy, Fiscal Policy

Fiscal policy is a macroeconomic policy to influence the economy by using budgetary instruments such as taxes and government expenditure. It complements monetary policy in affecting the economy.  Both are demand-side policies because they

Tag: Economic Policy, Fiscal Policy

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