Some Economists Argue That Policymakers Can Use Monetary and Fiscal

question 139

Essay

Some economists argue that policymakers can use monetary and fiscal policy to reduce the severity of economic fluctuations. What are some things policymakers can do to boost the economy when aggregate demand is inadequate to ensure full employment?

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Definitions:

Taboo

A social or cultural prohibition on certain behaviors, discussions, or practices, often considered morally unacceptable or offensive.

Moral Holiday

A concept where norms and morals are temporarily relaxed, allowing for behaviors that are typically discouraged or penalized.

Mores

The customs, norms, and behaviors that are considered morally significant or obligatory in a particular society, guiding moral and ethical conduct.

Sanction

Actions that are taken to enforce rules, consisting of penalties for noncompliance or incentives for compliance.