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In a monetary system subject to interest/usury, monetary policy effectively prescribes the limitations to which all industry is subject.
That is, merely to maintain a circulation subject to interest, it is necessary to perpetually re-borrow what we pay against principal and interest obligations. Payments against principal effectively then cannot pay down the sum of debt, as they must be re-borrowed back into circulation as subsequent debts equal to the former sum of debt. But as payments against interest obligations count none against former debt and are necessarily re-borrowed then as new debt above the previous sum of debt, thus the sum of debt increases in proportion to the circulation by so much as periodic interest on debt.
This perpetual multiplication of debt in proportion to the circulation has numerous effects, including driving industry from countries subject to faster rates of multiplication. Servicing the multiplying proportions of debt erodes potential profit margins and forces the industries to countries where for instance labor "markets" are further disadvantaged than the labor pool of the original country of industry.
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What are fiscal monetary and regulatory policies?
What are fiscal, monetary, and regulatory policies
Does fiscal or monetary policy influence real GDP?
Both fiscal and monetary policy can affect real GDP, due to time-lag in wage and price adjustments. In general, however, fiscal policy has a much more direct effect on real GDP.
Why does monetary policy directly influence businesses and individuals than fiscal policy does?
on A+: because of its effect on interest rates :))
What is the main goal of both fiscal and monetary policy?
The main goal of both fiscal and monetary policy is to stabilize the economy.
Why does monetary policy more directly influence businesses and individuals than fiscal policy does?
on A+: because of its effect on interest rates :))
What are fiscal monetary and regulatory policies?
What are fiscal, monetary, and regulatory policies
Does fiscal or monetary policy influence real GDP?
Both fiscal and monetary policy can affect real GDP, due to time-lag in wage and price adjustments. In general, however, fiscal policy has a much more direct effect on real GDP.
Monetary and fiscal policies of RBI during recession?
monetary and fiscal policy of rbi during recession
Why does monetary policy directly influence businesses and individuals than fiscal policy does?
on A+: because of its effect on interest rates :))
What is the main goal of both fiscal and monetary policy?
The main goal of both fiscal and monetary policy is to stabilize the economy.
Why does monetary policy more directly influence businesses an individuals than fiscal policy does?
because of its effect on interest rates.
Why does monetary policy more directly influence business and individuals than fiscal policy does?
on A+: because of its effect on interest rates :))
Why does monetary policy more directly influence businesses individuals than fiscal policy does?
because of its effect on interest rates.
Why does monetary policy more directly influence business and individuals than fiscal policy?
on A+: because of its effect on interest rates :))
Why does monetary policy more directly influence businesses and individuals than fiscal policy?
on A+: because of its effect on interest rates :))
Why does monetary policy more directly influenced businesses and individuals than fiscal policy does?
on A+: because of its effect on interest rates :))
Why does monetary policy more directly influence businesses and individuals than fiscal policy does?
on A+: because of its effect on interest rates :))
