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What is Monetary and Fiscal Policy Effects on AD about?

Chapter 24 discusses the impact of monetary and fiscal policy on aggregate demand, explaining how interest rates influence the aggregate-demand curve and how central banks can shift it through monetary policy. It also covers the effects of fiscal policy on aggregate demand through government spending and taxation. The chapter highlights the challenges of stabilizing the economy and the tools available to central banks, especially during liquidity traps.

Author

trinhngocqtkd

Language

EN