contractionary policy

The results, they said, were contractionary policies that risked causing even more damage to the economies it was overseeing.

By contrast, contractionary policies would reap the benefits of lower inflation, but at the cost of higher unemployment.

Contractionary policy is intended to slow inflation in order to avoid the resulting distortions and deterioration of asset values.

In other words, suggesting that contractionary policy in the guise of fiscal responsibility will somehow not make a downturn worse.

In other words, Europe has been told that the ECB's contractionary policies - if continued - will lead to downgrades.

The replacement, Regime B, adopts contractionary policies reducing inflation and growth, and the downwards swing of the cycle.

Standard & Poor's warned on Monday that Europe's contractionary policies increase the risk of downgrades, even for the AAA core.

Mr Nuno Santos said Europe's southern states should join forces to resist the austerity dictates and contractionary policies being imposed by the core powers.

Washington's Center for Economic and Policy Research said the IMF is enforcing a"pro-cyclical contractionary policy" in Latvia.

Angela Merkel's summit has sealed a 1930s outcome for Europe, further entrenching Germany's misguided and contractionary policies without offering any viable way out of the crisis at hand.

Moreover, it was argued that contractionary policies introduced during boom periods to reduce the growth in imports and inflationary pressures had their full effect when the economy had begun to move into recession.

The political business cycle is an alternative theory stating that when an administration of any hue is elected, it initially adopts a contractionary policy to reduce inflation and gain a reputation for economic competence.

Given the common monetary policies and the price levels for all the nations under the union, the fiscal authority of the home country is led to follow contractionary policies in case of deterioration in terms of trade.

PAUL KRUGMAN: I think it was meant mainly as a technical cleanup-just a reduction in the aid to banks, not a contractionary policy; and maybe also as a non-substantive sop to the inflation hawks.

But if there is hysteresis, the unemployment rise initiated by the contractionary policy will never completely go away, and in this case the cost of the anti-inflation policy will have been permanently higher unemployment, making the policy less likely to have greater benefits than costs.

From the alternative Cartalist view of money, the monetary hegemon is not required to maintain credible macroeconomic policies (i.e., fiscally contractionary policies so that the the value of the currency is maintained), but to provide an asset free of the risk of default.

It is referred to as either being expansionary or contractionary, where an expansionary policy increases the total supply of money in the economy more rapidly than usual, and contractionary policy expands the money supply more slowly than usual or even shrinks it.

Faced with a high foreign debt even just after he assumed his office, President Estrada in his first State of the Nation Address (SONA) said that contractionary policies will be employed by cutting back on government expenditures with the help of a budget framework.

Both the authorities would follow expansionary policies in case of a negative demand shock in order to bring back the demand at its original state while they would follow contractionary policies during a positive demand shock in order to reduce the excess aggregate demand and bring inflation under control.