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Understanding Economics
Understanding Economics: A Contemporary Perspective, 2/e
Mark Lovewell, Ryerson Polytechnic University
Fiscal Policy

Chapter Focus

In this chapter, you will:

Learn about expansionary and contractionary fiscal policies, which are used by governments seeking economic stability

Analyze the multiplier effect of fiscal policy, as determined by the marginal propensities to consume and withdraw

Consider budget surpluses and deficits and their impact on public debt and public debt charges




McGraw-Hill/Irwin




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