America needs a big stimulus package.

Financial resources allocation as incentives

Financial resources allocation as incentives 42 20

But the stimulus effect of quantitative easing is far less certain than even that of fiscal stimulus.

In addition, the odds Iran would accept such an offer might increase if the details were made public.

The diplomatic package could be made more attractive if the US would add more positive incentives.

Convincing Russia and China to support a package of requirements, incentives, and penalties would be important.

Failure to design an effective fiscal stimulus shifted the burden to monetary policy.

Indeed, what is needed now is another dose of fiscal stimulus.

The government s stimulus package demonstrates that it is aware of the risks in the global economy and is prepared to act decisively.

Obama outsourced the details of the 787 billion fiscal stimulus to Congress and, no surprise, the old barons of the House stuffed it with pork and social engineering.

Given the magnitude of the contraction in credit supply following the financial crisis of the late 1990 s, it is no surprise that government spending failed to restore growth.

First, there is the counterfactual case How would Japan s economy have performed in the absence of fiscal stimulus?

A series of fiscal stimuli introduced over the past year have so far proved inadequate to boost domestic demand.

Even so, some economists still advocate more fiscal stimulus.

But in a rentier economy, huge revenues from oil or external financial transfers actually create a disincentive to work.

For the global economy, the malaise reflected in anemic trade growth calls for coordinated fiscal stimulus by the world s major economies.

The Poverty of Stimulus

He is right in principle in demanding a major economic stimulus package from the German government that goes beyond the 35 billion already planned.

The International Monetary Fund suggests that as much as 75 of the fiscal stimulus in the advanced countries comprises non discretionary counter cyclical measures.

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The importance of giving clear incentives, so that regulators are innovative and facilitate innovation in financial services, must not be underestimated.

Any short term fiscal stimulus effect will have worn off, unemployment will still be high, and there will no doubt be politicians clamoring for more tax cuts.

He saw the G 20 as a vehicle for building consensus on coordinated monetary and fiscal stimulus and financial regulation.

Incentives are distorted.

Elimination of perverse incentives

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