March 09, 2009 at 04:13 AM EDT
Stimulus Plus Easy Money a Significant Economic Multiplier
A new staff position paper put together by International Monetary Fund economists presses the case for more aggressive fiscal stimulus actions worldwide. The paper, which is not official IMF policy, uses simulations with a multi-country structural model to show that “worldwide expansionary fiscal policy combined with accommodative monetary policy can have significant multiplier effects on the [...]
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