A big increase in government spending is an example of a positive demand shock.
A demand shock is a sudden event that increases or decreases demand for goods or services temporarily. A positive demand shock increases aggregate demand and a negative demand shock decreases aggregate demand. Therefore there will be an initial inflation with the shock but since demand shocks are temporary and the central bank commits to an inflation rate target, then over time inflation will fall back down to the inflation target.
Expansionary fiscal policy is an increase in government spending or a decrease in taxation, while contractionary fiscal policy is a decrease in government spending or an increase in taxes. Expansionary fiscal policy can be used by governments to stimulate the economy during a recession.
Learn about positive demand shock:
brainly.com/question/14528859
#SPJ4
Before U.S.<span> entry to WW1, a movement led by former president Roosevelt that called on the gov. to increase </span>U.S. military<span> strength and convince Americans of the need for </span>U.S.<span> involvement in the war. propaganda .... Idealist.</span>
Answer:
Socializing
Explanation:
They will have to make new friends and get used to being away from family . They will have to get to know their new environment and set time slots for themselves
<u>Answer:
</u>
The investigation, in turn, can help one to use the factors in an ethical manner to get some necessary tasks accomplished within the organization by putting to use the knowledge gained from the investigation.
<u>Explanation:
</u>
- In order to help oneself achieve greater feats, the knowledge secured from the studies carried out in the past or the experiences gained earlier can be used ethically.
- In the given example, the individual can help himself by influencing the choices of the concerned authorities by implementing the factors that impact the choice.
- This way, he can better organize the work to suit his capabilities and also motivate the subordinates to make choices that would prove beneficial to him and the organization at large.
