Stimulus
in sentence
1793 examples of Stimulus in a sentence
One reason is that banks that received money in the initial rescues do not seem to have increased their lending, without which monetary and fiscal
stimulus
are unlikely to be effective.
The Fed introduced quantitative easing – buying large quantities of long-term bonds and promising to keep short-term interest rates low for a prolonged period – after it concluded that the US economy was not responding adequately to traditional monetary policy and to the fiscal
stimulus
package enacted in 2009.
To make real progress toward reviving their economies, the individual countries need to depend less on quantitative easing by the ECB and focus squarely on structural reforms and fiscal
stimulus.
They believe that responding to calls for
stimulus
would simply lead to more such calls, creating a log-rolling, pork-barrel dynamic in which any hope for fiscal consolidation is ruled out.
The heavy artillery of monetary and fiscal
stimulus
is being wasted on attempts to short-circuit balance-sheet repair.
With an expanded coterie of world leaders taking charge, jittery financial markets stabilized, and the G20 then helped launch, and sustain, a global economic stimulus, led by China, which reversed the downward spiral.
It can raise these funds by issuing long-term bonds using its largely untapped AAA borrowing capacity, which will have the added benefit of providing a justified fiscal
stimulus
to the European economy.
How to Avoid a Double-Dip Global RecessionNEW YORK -- There is an ongoing debate among global policymakers about when and how fast to exit from the strong monetary and fiscal
stimulus
that prevented the Great Recession of 2008-2009 from turning into a new Great Depression.
If they take away the monetary and fiscal
stimulus
too soon – when private demand remains shaky – there is a risk of falling back into recession and deflation.
On the other hand, if policymakers maintain the
stimulus
for too long, runaway fiscal deficits may lead to a sovereign debt crisis (markets are already punishing fiscally undisciplined countries with larger sovereign spreads).
Second, countries where bond-market vigilantes have not yet awakened – the US, the UK, and Japan – should maintain their fiscal
stimulus
while designing credible fiscal consolidation plans to be implemented later over the medium term.
Specifically, China and emerging Asia should implement reforms that reduce the need for precautionary savings and let their currencies appreciate;Germany should maintain its fiscal
stimulus
and extend it into 2011, rather than starting its ill-conceived fiscal austerity now; and Japan should pursue measures to reduce its current-account surplus and stimulate real incomes and consumption.
Fifth, in countries where private-sector deleveraging is very rapid via a fall in private consumption and private investment, the fiscal
stimulus
should be maintained and extended, as long as financial markets do not perceive those deficits as unsustainable.
Countries that can still afford fiscal
stimulus
and need to reduce their savings and increase spending should contribute to the global current-account adjustment – via currency adjustments and expenditure increases – in order to prevent a global shortage of aggregate demand.
It is widely assumed that monetary policy is a spent force in the US and Europe, and that fiscal
stimulus
and expansion – for example, via tax cuts and infrastructure spending – must take over.
The “Buy American” provision in the United States’
stimulus
bill got the most attention.
These were among the risks associated with America’s insufficient stimulus, which was designed to placate members of Congress as much as it was to revive the economy.
With soaring deficits, a second
stimulus
appears unlikely, and, with monetary policy at its limits and inflation hawks being barely kept at bay, there is little hope of help from that department, either.
This is why
stimulus
packages and financial rescue plans were for the first time adopted concomitantly in Europe, the United States, and some large Asian countries.
Like its partners, France has launched significant
stimulus
measures, with a plan announced by President Nicolas Sarkozy last December, as well as public investments and early repayment of government debt.
If we also take into account the strengthening of social services and legal policies launched last month, France’s
stimulus
in 2009 totals more than 2% of its GDP, with committed future outflows equaling the US.
Economic
stimulus
will work efficiently only if confidence is restored.
Indeed, just as a national fiscal
stimulus
is less efficient than a coordinated effort, strengthening financial regulations without combating the laxity that prevails elsewhere makes no sense in a globalized world.
China, which channeled around one-third of its
stimulus
package into environmental sectors, has seen its GDP rise sharply, and employment in renewable energies such as solar has climbed to more than 1.5 million, with 300,000 workers added in 2009 alone.
South Korea has invested well over 80% of its
stimulus
in areas ranging from sustainable transport and low-emission vehicles to energy-efficient buildings.
But short-term
stimulus
measures, such as tax cuts and higher fiscal deficits, will be needed to minimize growth disruptions.
The exact form of the
stimulus
will likely be inefficient and regressive: big tax cuts for the rich will exacerbate the inequality that helped fuel Trump’s success.
But the direction of the policy shift – from monetary to fiscal
stimulus
– makes sense.
If Trump’s fiscal
stimulus
provokes a policy rethink elsewhere, some benefit will result.
Far from boosting consumption, as intended, monetary
stimulus
may create an environment that dampens demand, weakening prospects for economic growth.
Back
Next
Related words
Fiscal
Monetary
Economic
Growth
Would
Package
Economy
Policy
Spending
Government
Financial
Which
Countries
Measures
Demand
Global
Crisis
Their
Investment
Economies