Fiscal policy ppt for mac
Fiscal Policy Definitions Fiscal policy is the use of taxes, government transfers, or government purchases of goods and services to shift the aggregate demand curve. Discretionary Fiscal Policy: government takes deliberate actions through legislation to alter spending or taxation. Do these policies work? FISCAL POLICY is the manipulation of government spending and taxes to stabilize domestic output, employment, and the price level. – A free PowerPoint PPT presentation (displayed as a Flash slide show) on comienzoweb.com - id: cYzY3N. Fiscal Policy and the Multiplier 21 KRUGMAN'S MACROECONOMICS for AP* Margaret Ray and David Anderson What you will learn in this Module: Why fiscal policy has a multiplier effect How the multiplier effect is influenced by automatic stabilizers Multiplier Effects of an Increase in Government Purchases of Goods and Services Initial increase in spending Indirect effect of increased spending.