economics 27

Card Set Information

Author:
akoskey
ID:
56886
Filename:
economics 27
Updated:
2010-12-19 22:22:38
Tags:
economics
Folders:

Description:
fiscal policy
Show Answers:

Home > Flashcards > Print Preview

The flashcards below were created by user akoskey on FreezingBlue Flashcards. What would you like to do?


  1. fiscal policy to fight recession
    increase gvmt spending, decrease taxes
  2. fiscal policy to fight inflation
    decrease gvmt spending, increase taxes
  3. monetary policy to fight recession
    increase rate of growth of money supply, decrease interest rates
  4. monetary policy to fight inflation
    decrease rate of growth of money supply, increase interest rates
  5. monetary instruments of the federal reserve to stimulate growth, lower unemp, increase growth of money supply, lower interest rates
    • buy gvmt securities
    • lower discount rate
    • lower federal funds rate
    • lower reserve ratio
  6. monetary instruments of the federal reserve to slow growth, reduce inflation, decrease rate of growth of money supply, increase interest rates
    • sell govmt securities
    • raise discount rate
    • raise federal funds rate
    • raise reserve ratio
  7. chief means of chaning money supply
    open market operations
  8. automatic stabilizers
    gvmt spending and taxes that automatically increase or decrease along with the business cycle
  9. multiplier effect
    the series of induced increases in consumption spending that results from an initial increase in autonomous expenditures

What would you like to do?

Home > Flashcards > Print Preview