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Issue:

Book Reports

 

Written by:

John H

 

Date added:

October 27, 2015

 

Level:

University

 

Grade:

A

 

No of pages / words:

3 / 752

 

Was viewed:

8170 times

 

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Essay content:

These generally include the interest rate and money supply, tax and government spending, tariffs, exchange rates, labour market regulations, and many other aspects of government. The government's economic policy determines the tools and hopes that they will achieve its goals. [edit] Selecting tools and goals Government and central banks are limited in the number of goals they can achieve in the short term...
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For instance, there may be pressure on the government to reduce inflation, reduce unemployment, and reduce interest rates while maintaining currency stability. If all of these are selected as goals for the short term, then policy is likely to be incoherent, because a normal consequence of reducing inflation and maintaining currency stability is increasing unemployment and increasing interest rates...
displayed 300 characters

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