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Why there is economic crises?

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Anonymous

∙ 16y ago
Updated: 8/17/2019

There either is too much spending in economy(causing inflation)

or

There is too little spending in economy(resulting in less jobs due to layoffs).

The US government solves: if too much spending, taxes go up. if too little spending, less interest rates(established by the Federal Reserve) given to tempt investors to invest.

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Wiki User

∙ 16y ago

What else can I help you with?