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Explain why policy lags could make stabilization policies counterproductive.
Deflation
A decrease in the general price level of goods and services, often leading to an increase in the real value of money.
Inflation
The progression at which the price level for goods and services at large advances, lessening the potency of purchasing.
Housewives
Individuals, traditionally women, who manage households and may or may not engage in paid employment outside the home.
Labor Force
The total number of people who are willing and eligible to work, including both the employed and those seeking employment.
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