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Adjustment in sentence

880 examples of Adjustment in a sentence

As fiscal austerity and asymmetric adjustment have taken their toll on economic performance, monetary policy has borne the burden of supporting faltering growth via weaker currencies and higher net exports.
A better approach in advanced economies would have comprised less fiscal consolidation in the short run and more investment in productive infrastructure, combined with a more credible commitment to medium- and long-term fiscal adjustment – and less aggressive monetary easing.
Unlike most other developed countries, Germany’s tax system lacks an automatic adjustment mechanism to prevent inflation from pushing households into higher tax brackets.
Germany increasingly recognizes that if the adjustment needed to restore growth, competitiveness, and debt sustainability in the eurozone’s periphery comes through austerity and internal devaluation rather than debt restructuring and exit (leading to the reintroduction of sharply depreciated national currencies), the cost will most likely be trillions of euros.
The adjustment process will take many years, and, until policy credibility is fully restored, capital flight will continue, requiring massive amounts of official finance.
Just consider what must be overcome: economic divergence and deepening recessions; irreversible balkanization of the banking system and financial markets; unsustainable debt burdens for public and private agents; daunting growth and balance-sheet costs in countries that pursue internal devaluation and deflation to restore competitiveness; asymmetrical adjustment, with moral-hazard risks in the core and insufficient financing in the periphery fueling incompatible political dynamics; fickle and impatient markets and investors; austerity fatigue in the periphery and bailout fatigue in the core; the absence of conditions for an optimal currency area; and serious difficulties in achieving full fiscal, banking, economic, and political union.
But it is difficult to know how deep that adjustment has gone.
This is a European crisis, so all of Europe must share the burden of adjustment.
Here, no one is better positioned than Europe to advocate for effective multilateralism and facilitate agreement and adjustment, by adopting a common position to correct today’s overrepresentation.
So, while we can expect a multi-year process of rebalancing and closing the gap between actual and potential growth, exactly how long it will take depends on policy choices and the speed of structural adjustment.
For the US, on the other hand, soaring military expenditures and frequent tax cuts have created the economic conditions for trade deficits, and ineffective adjustment programs have only exacerbated the impact of trade on jobs.
The optimistic reading is that, despite no sign of improvement in the labor market, economic performance has in fact started to improve, and an adjustment process is under way.
This brings us to the issue of price and cost adjustment.
In the rest of struggling Europe, price adjustment is barely noticeable.
But higher inflation would help to accelerate desperately needed adjustment in Europe’s commercial banks, where many loans remain on the books at far above market value.
Trump seems to have abandoned earlier proposals for a border adjustment tax, and he may not follow through on all of his protectionist rhetoric.
The massive amount of scientific evidence supporting current climate projections makes it unlikely that the world will forego adjustment entirely.
Let us be very clear, too, about “renegotiating the terms of membership,” the refuge of those who want to leave but want to persuade people that it really is just an adjustment of the relationship.
When, in the course of the “adjustment,” the going gets very rough (as it will), they will say, “Well, it’s a pity, but now it seems that adjustment is not enough.”
Study after study emphasized asymmetries within the future common-currency area, the possible inadequacy of a one-size-fits-all monetary policy, the weakness of adjustment channels in the absence of cross-border labor mobility, and the need for some sort of fiscal union involving insurance-type mechanisms to assist countries in trouble.
There is now great skepticism as to the substance of any “fix” – especially one that relies on smoke and mirrors to postpone meaningful fiscal adjustment.
The adjustment process is even trickier for public institutions, especially given their wide-ranging roles as gatekeepers, enablers, and regulators.
In the OECD, many of the countries with the highest debt-to-GDP ratios – including Italy, Portugal, and Spain – ran relatively modest deficits, but failed to invest effectively in education, research, training, or well-designed welfare programs that facilitate economic adjustment.
First, in the past, short-term macroeconomic stability was often achieved at the expense of structural adjustment and rational allocation of resources.
By the end of the year, however, the costs of the structural adjustment needed to shift China’s growth model away from investment demand could rise further.
Longer maturities leave more time for adjustment, lowering the risk of a confidence shock.
Obviously, a country whose currency represents a significant proportion of world reserves can gain international power from that position, thanks to easier terms for economic adjustment and the ability to influence other countries.
Given the challenges of modernizing an economy within the parameters of a theocratic state, structural adjustment and global integration are likely to be prolonged processes.
The fact that the eurozone lacked the labor-market flexibility needed to make it an optimal currency area meant that adjustment via regional reallocation of economic activity would be glacial, while its members’ loss of control over monetary policy ruled out adjustment via nominal depreciation.
The burden of adjustment cannot fall exclusively on the deficit countries – unless, that is, a moral element of “punishment” is involved.
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