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leva [86]
3 years ago
15

Why is the slow growth that can result from a con traction airy policy positive effect

History
1 answer:
raketka [301]3 years ago
4 0
It can be great if it ends an inflation since it's good against an inflation. This is what happened in the US in the 19th century when a very successful contractionary policy was implemented to end a deflation that was completely ruining the value of money and people were becoming extremely poor. It's because it reduces government spending all at once.
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