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The economy has grown too quickly.

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Which scenario indicates that an expansionary monetary policy is needed?

The economy has been growing rapidly.


What is the difference between fiscal monetary and supply-side economics policy?

The fiscal policy focuses on how government intervention will shift the demand depending on which issue is the most pressing. The supply policy is used when more employment is needed.


Do monetary policy affects money supply?

The stimulus package affects money supply by decreasing debts using budget cuts in areas where money isn't needed as much. It also lowers money supply in areas that can benefit from a higher budget.


Why fiscal and monetary policies failed in the recession 2008?

Fiscal and monetary policies struggled during the 2008 recession due to their delayed implementation and limited effectiveness in addressing the crisis's root causes, such as high levels of household debt and a collapsing housing market. While monetary policy, including low interest rates and quantitative easing, aimed to stimulate borrowing and spending, it did not adequately restore consumer and business confidence. Additionally, fiscal stimulus measures were often insufficient or politically constrained, failing to provide the immediate relief needed for economic recovery. Ultimately, these factors contributed to a prolonged economic downturn.


Why economic security is needed for society?

Economic Development is the result of hard work, risk-taking and monetary investment of Entrepreneurs and the first priority of an Entrepreneur is security in all aspects of life such as security for his family, his assets, his wealth and etc. So therefore security is the first step towards economic development.

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Which scenario indicates that an expansionary monetary policy is needed?

The economy has been growing rapidly.


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