(Figure: Effects of Policy Shifts) If government spending increases, shifting aggregate demand from _____ to _____, aggregate output will increase from _____ to _____. 
Definitions:
Washington Consensus
represents a set of neoliberal economic policies that emphasize fiscal discipline, deregulation, trade liberalization, and privatization.
Tariffs
Taxes imposed by a government on imported or exported goods to regulate trade, protect domestic industries, or generate revenue.
Privatization
The process of transferring ownership or operation of a business, enterprise, agency, or public service from the public sector (government) to private individuals or organizations.
Globalization
The process of interaction and integration among people, companies, and governments worldwide, resulting in the interconnectedness of global economies, cultures, and populations.
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