fiscal stimulus

The chancellor's main argument against fiscal stimulus was that it would raise interest rates and thus be self defeating.

A fiscal stimulus worth a total of around 1. 4% of GDP a year may lessen the pain, even if it is not big enough to end it.

He said it was unclear whether private demand would be strong enough to pick up the slack when fiscal stimulus fades in 2010.

That consensus is fraying. Just as it has on the wisdom of more fiscal stimulus, opinion is starting to polarise on monetary policy.

Government spending and investment are also likely to have been positive as fiscal stimulus measures continued to have an impact.

How much room is there for more fiscal stimulus?

He recognizes, however, that this dream of a second fiscal stimulus is unlikely to materialize.

There is often a longdelay between discussions of a fiscal stimulus, enactment of a law providingfor the stimulus, and the actual spending.

But workers who worry about being laid off are unlikely to go spend, regardless of how much money fiscal stimulus puts in their pockets.

We do not know with certainty the willingness of investors to hold increased public liabilities associated with the fiscal stimulus.

'More fiscal stimulus would be the most obvious thing to do, ' he said, backing a position held by many Democrats.

If fiscal stimulus is no substitute for financial clean-ups, it is an important support at a time of slumping demand.

He spoke, too, as if a large fiscal stimulus would be enough to restore prosperity.

"Fiscal stimulus is critical but could be counterproductive if it is not timely, targeted and temporary, " he said.

That means continuing to let the Renminbi appreciate, while directing any fiscal stimulus in the direction of households.

"Monetary stimulus alone is not enough - it must be combined with fiscal stimulus if you want more bang for your buck, " he noted.

It is far from clear that any huge temporary fiscal stimulus will rev up the engine enough to achieve self-sustaining growth.

Europe will be pursuing austerity, China is trying to rein in bank lending but America has opted for another fiscal stimulus.

They said "the case for a massive global fiscal stimulus continues to grow" .

Tax rises right away would be a rotten idea, since for the moment fiscal stimulus is needed.

The scenario analysis for the long-term effects of a large fiscal stimulus is shown in Table 2.

In particular the combination of a continued fiscal stimulus and a credible commitment to consolidation struck the right balance.

It is wrong in this context to believe that the only choice is further fiscal stimulus versus a repeat of the Great Depression.

Second, wartime economies were essentially closed, so there was no leakage of fiscal stimulus.

The president pleaded for the passage of a massive fiscal stimulus, insisting that "doing nothing is not an option. "

"Confidence is collapsing with the world's economies, and fiscal stimulus is not coming on fast enough, " he said.

He was an early, vocal and consistent advocate of co-ordinated global fiscal stimulus, advice that in hindsight seems remarkably prescient.

"Some governments in the region will have the fiscal space to sustain fiscal stimulus until recovery is on a firmer footing, " he said.

Smaller ones like Chile and Taiwan have had a large fiscal stimulus. But few have done so well.

The Democrats said they would also push for a second fiscal stimulus package, though not necessarily as part of this legislation.

This unwelcome development is a direct result of Beijing's emphasis on heavy industry in its most recent fiscal stimulus campaign.

Interest rates in many rich countries are now close to zero, which may increase the potency of, as well as the need for, fiscal stimulus.

Fiscal stimulus, indispensable as it is, cannot create a lasting economic recovery in a country with a broken financial system.

Germany still has some fiscal stimulus in the pipeline, which may lift its economy above the rest for a while.

Mr Obama's earlier fiscal stimulus is also already starting to fade, and election year politics have poisoned the chances of any more.

The wisdom of withdrawing fiscal stimulus in the near term is proving to be one of the most contentious in global policymaking.

There was no plan for global recovery or even a commitment to increased fiscal stimulus.

He rejected the notion that the US is only interested in fiscal stimulus while continental Europeans want regulatory reform.

The result is an extra fiscal stimulus of $1, 000bn during the next two years rather than letting the Bush-era tax cuts expire.

The correct measure of a fiscal stimulus is the change in the budget deficit adjusted for the impact of the economic cycle.

In that, he is probably mistaken, just as he was wrong to oppose Mr Brown's fiscal stimulus.

Then, the answer was unprecedented monetary accommodation, direct support for the financial sector and a dose of fiscal stimulus.

The International Monetary Fund, having been the champion of fiscal stimulus, has now returned to its roots of orthodoxy.

Providing this backstop was just as important as monetary and fiscal stimulus in arresting the slide in the real economy.

Fiscal stimulus is the Keynesian answer to the kind of depression-type economic situation we're currently in.

There appears to be little political appetite for a further round of fiscal stimulus or easier monetary policy.

Budgets are in surplus or close to balance, giving policymakers more room for a fiscal stimulus to support growth.

One version of this claims that the initial fiscal stimulus was too small and the reluctance to administer a second dose was a mistake.

But in the main America, along with many other countries, will probably have to rely on its fiscal stimulus for longer than it would like.

But unlike today, the government did not respond to the demands for inflation, price supports, bailouts, and fiscal stimulus.

Infrastructure companies would also be keen to list as they benefited from China's fiscal stimulus programme, Mr Chan said.

Other members of the G-20 have pursued fiscal stimulus as well, and these efforts should be robust and sustained until demand is restored.

Democrats in Congress are calling for a second fiscal stimulus to hold down unemployment.

A powerful bipartisan programme of fiscal stimulus, financial restoration and regulatory vigilance should be considered.

In Europe and the United States, the end of fiscal stimulus has left communities and industries foundering.

Experience shows that the most cost-effective form of temporary fiscal stimulus is direct government spending.

' Paris and Berlin have been openly hostile to the U. S. president's calls for more fiscal stimulus.

When the Chinese government launched a fiscal stimulus package a month ago, it was more a statement of intent than a battle plan.

Some form of further fiscal stimulus is needed, though estimates of the budget deficit next year already spiral above $1 trillion.

The fiscal stimulus does not come with large bank lending to support it, so the leverage effect in the U.

It expects the contraction to be concentrated in the final months of the year, when the fiscal stimulus from tax rebates wears off.

Some advocate additional fiscal stimulus even for high deficit countries, like the US.

Timely and targeted fiscal stimulus can add to aggregate demand in a way that supports private consumption during a critical phase.

In a few weeks, Congress will likely enact the largest fiscal stimulus legislation in history.

There is a strong case, too, for a fiscal stimulus to promote domestic consumption growth.

Keynes, not coincidentally, had nothing to say about the proper components of fiscal stimulus.

Few governments have room for manoeuvre through an old-fashioned counter- cyclical fiscal stimulus.

Monetary and fiscal stimulus by governments around the world helped keep the recession from becoming a depression, Duncan said this week.

Contingent liabilities from non-performing loans could also reduce resources available for a fiscal stimulus.

And depending on the state of the economy in 2013, extra fiscal stimulus can always be applied to offset those effects.

The $825bn fiscal stimulus over two years proposed by the Obama administration will increase the US current account deficit.

that which has been done, plus a large fiscal stimulus - should be able to stem this within a reasonable period of time.

Much of the past year's bank lending should really be viewed as a form of fiscal stimulus.

As it currently stands, China's almost $600 billion fiscal stimulus has less than 10% dedicated to social welfare programs.

In many countries, much of the announced fiscal stimulus is yet to be delivered.

Relative to its baseline, CBO projects that a fiscal stimulus could reduce the unemployment rate by about one or two percentage points.

An aggressive fiscal stimulus plan will cushion the blow of an expected contraction of private investment and slowing private demand growth.

Questions are being raised as to whether the policy of jump-starting the economy through a massive fiscal stimulus has failed.

The IMF has been urging nations to increase fiscal stimulus by at least 2% of gross domestic product to boost growth.

The last thing the US economy needs is a large fiscal stimulus, or indeed any fiscal stimulus at all.

He is hopeful that the summit will agree to coordinated fiscal stimulus that would prop up a dramatically slowing world economy.

The Ministry of Finance is hard at work on a fiscal stimulus package, and the State Council could approve it within a matter of weeks.

We avoided a near depression and financial sector meltdown with a massive monetary, fiscal stimulus and bank bail-outs.

Mr Bernanke said consumer spending power would be "boosted by the fiscal stimulus" in the coming months.

Due to the strength of this year's fiscal stimulus, though, such outlays will be hard-pressed to carry GDP forward in 2010.

Greece's fate has implications for the global debate over the timing of the withdrawal of fiscal stimulus.

Namely, when you're up against the zero lower bound, and conventional monetary policy is useless, fiscal stimulus may be your best option.

If the United States could maintain fiscal stimulus for three to five years, I'm sure the economy could pull itself out sooner.

Nevertheless, a great deal of fiscal stimulus has occurred.

Fiscal stimulus is a necessary palliative for a debt-encumbered economy afflicted by falling asset prices.

Governments, meanwhile, introduced substantial fiscal stimulus packages.

He used the parlous public finances as a reason to justify why Italy's fiscal stimulus should be much smaller than in other big countries.

Spain's government is putting together a fiscal-stimulus package as its economy slows in the wake of a construction bust.

Those overly optimistic assessments of the likely impact of interventions, from fiscal stimulus to QE, also make much more sense now.

Foreign companies are also worried that they will be squeezed out of contracts connected to China's fiscal stimulus programme.

This bulletin provides a "scenario analysis" for the budget effects of the fiscal stimulus plan being considered by Congress.

So even in places where governments may wish to maintain fiscal stimulus, the markets may force them into corrective action.

The economy needed low interest rates and a fiscal stimulus to avoid a severe recession.

And "outsize fiscal deficits" suggest that fiscal stimulus may also be exhausted.

It would like them to pledge a fiscal stimulus equal to 2% of global GDP this year and next, and for the IMF to monitor compliance.

And today's dilemmas are prompting new research: which form of fiscal stimulus is most effective?

The IMF report came amid clashes in the US Congress over the possible need for additional fiscal stimulus to fight rising unemployment.

Fiscal stimulus is among the weakest tools available to counteract a contraction.

It is now becoming increasingly accepted around the world that a temporary and affordable fiscal stimulus is needed.

How should they order the removal of extraordinary financial intervention, unprecedentedly loose monetary policy and fiscal stimulus?

Budgets are in surplus or close to balance, providing more scope for fiscal stimulus to support growth.

Alongside a more determined approach to stabilising the financial system, Mr Obama must win public support for a big new fiscal stimulus.

Geithner pushed continental Europe to speed up the rescue of debt-laden economies, and to not stint on fiscal stimulus.

The slowdown in economic activity comes at a time when there are few options for further monetary or fiscal stimulus.

China is stepping up its efforts to boost its slowing economy by unveiling the first steps in a potentially large fiscal stimulus programme.

Keynesians will argue that Japan's fiscal stimulus was not wrong in principle, but badly implemented and undermined by half-hearted policy.

The government has responded in textbook fashion, unveiling what appears to be a massive fiscal stimulus package.

Mr Obama also said that his promised tax cuts for "95 per cent of working families" should be seen as part of a new fiscal stimulus.

Even in a less extreme case, multi-year fiscal stimulus may be required to underpin recovery.

In Brazil overheating has been aggravated by official tardiness in withdrawing the fiscal stimulus applied during the recession.

Fully invested, that would be helpful to Beijing's fiscal-stimulus plans.

But the ability of China to implement a rapid and massive fiscal stimulus is limited for a variety of reasons.

many have a budget surplus or are close to balance, leaving ample room for a fiscal stimulus if necessary.

Extra fiscal stimulus for business investment can mimic very low interest rates in the cost of capital.

Weaker global outlook could lead some developed and emerging economies outside Europe to expand fiscal stimulus to sustain private demand.

On the consumption side, commit to do whatever it will take to avoid a Depression, from fiscal stimulus to quantitative easing.

Yet he went away with nothing: no co-ordinated fiscal stimulus; no meaningful commitments of new military support in Afghanistan.

in my judgment, the positive impact of a fiscal stimulus will peter out after its scheduled completion.

First, it is not clear how quickly and how efficiently the government can mobilise such a large fiscal stimulus.

So the budget's mild fiscal stimulus makes macroeconomic sense as well.

His government has squabbled with America over a marine base, and internally over fiscal stimulus and the budget.

Fiscal stimulus and the wealth effect of rising asset prices can provide only a temporary prop to domestic spending.

They aggravate that risk by outsourcing rule-writing to Congress, as with the fiscal stimulus and carbon emissions and, soon, health care.

But some economists say income-tax cuts would be more effective than fiscal stimulus packages that eye only specific areas.

The Barack Obama fiscal stimulus will fill some of the gap left by contracting private demand.

It was difficult for Angela Merkel's government to accept the need for a major fiscal stimulus.

Although its effects are yet to feed in, Congress has also pushed through a fiscal stimulus.

Tim Geithner, then a Treasury official and now the Treasury secretary, would press his Japanese counterparts for more fiscal stimulus.

On other Chinese economic issues, the IMF's board said it supported a 'gradual phase-out' of China's massive fiscal stimulus in 2011.

Until now, the federal government's fiscal stimulus has helped to paper over states' deficits with one-off handouts.

Over the same period, the euro-area economies saw no fiscal stimulus and household saving barely budged.

Mr Greenspan warned that without a proper banking sector fix, the $787bn fiscal stimulus would give only short-term relief.

The merits of more fiscal stimulus have been fiercely debated inside the Obama administration.

America also must stop its own partisan bickering and undertake one last round of fiscal stimulus.

Politicians and pundits alike were making a case for a fiscal stimulus package even before the Fed's surprise rate cut on January 22nd.

A monetary expansion should be accompanied, for those who can do it, by a fiscal stimulus.

Similarly, the growth is inconsistent with the contribution of fiscal stimulus which has turned negative lately.

The budget focuses squarely on spurring growth through fiscal stimulus and higher infrastructure spending.

China's concrete-pouring fiscal stimulus is unlikely to help.

Billions of euros dedicated to fiscal-stimulus plans and bank bailouts completed the devastation to government finances.

Substantial withdrawal of fiscal stimulus at the end of 2011 would be premature.

The State Council has announced a vast fiscal stimulus programme to pull China through the coming grim years.

The figures hang over his negotiations with Congress on a fiscal stimulus plan.

Some action has been taken by individual governments through both monetary policy and significant fiscal stimulus announcements.

Then it was possible for China to pull out all the stops and unleash a massive fiscal stimulus.

Fiscal stimulus packages that seemed sufficient two months ago may be too small, and too slow to take effect.

Those include monetary easing as well as fiscal stimulus and "heterodox" debt workouts.

It has said fiscal stimulus is central the recovery and proposed a fiscal boost of about 2 percent of global gross domestic product.

Recession, bank rescues and fiscal-stimulus packages have sent budget deficits soaring, and those effects will linger.

The new forecast incorporates expectations of substantial fiscal stimulus by many governments.

It is supposed to foster global co-operation on fiscal stimulus packages and financial market regulation and contain emerging protectionism.

First came news in January that China was tightening bank-lending standards as first step in reversing its fiscal-stimulus programs.

For some, worries that massive monetary and fiscal stimulus would eventually stoke inflation also pushed gold higher.

The combination of lower interest rates, fiscal stimulus and cheap valuations, is creating a supportive floor for equity markets.

The fiscal stimulus plan, while it will certainly help, probably won't do more than mitigate the economic side effects of debt deflation.

As Keynes was very clear about, the whole point of fiscal stimulus is to mobilize monetary policy and inject liquidity into the economy.

Consumers' troubles are mounting as the boost from fiscal stimulus fades and the labour market worsens.

Its refusal to sanction more fiscal stimulus, he argued, forced the Fed to do too much elsewhere.

Growth outside the US was strong and there was a boost on the way from Federal Reserve rate cuts and the $168bn fiscal stimulus.

Failure to mend a broken financial system quickly means a longer recession; it also renders fiscal stimulus much less potent.

The quake struck as the economy was recovering from recession, helped by fiscal stimulus.

Without sustained domestic demand and higher net exports, the US recovery may weaken once the fiscal stimulus is phased out.

What will be the effect on long-term growth of the increase in government debt incurred by the fiscal stimulus?

Even this burst of growth is heading for the quicksand next year if, as planned, the US fiscal stimulus is withdrawn.

Earlier this year, China pledged a third of its $586bn fiscal stimulus package on clean energy spending.

Liquidity was associated with fiscal stimulus, i. e. , providing support for fiscal bonds to fund fiscal deficit.

I believe that as part of the needed fiscal stimulus, we have a golden opportunity to invest in Britain's competitiveness.

In emerging Asia, the unfreezing of trade finance, a turnaround in stocks and hefty fiscal stimulus are powering a rebound.

It amounts to 14% of this year's estimated GDP and, in dollar terms, is four times as big as America's fiscal stimulus earlier this year.

National interests got in the way of fiscal-stimulus packages and efforts to co-ordinate bank guarantees and rescues.

Many governments around the world are taking a fiscal stimulus.

Unlike most other advanced economies, the US could undertake further fiscal stimulus at acceptably low risk.

Apart from pushing through a controversial fiscal stimulus, he has done little.

The extra fiscal stimulus should be on the household sector rather than investment.

Others, such as Taiwan and Singapore, could afford at least a temporary fiscal stimulus.

Mr. Almunia said that monetary- and fiscal-stimulus measures planned for this year and 2010 still need to be implemented.

Republicans seized on the data to challenge the Obama administration's claim that its fiscal stimulus was working.

Co-ordinated action on this scale might suggest a consensus about the effects of fiscal stimulus.

Somewhat surprisingly, there has been rather heated opposition to the very principle of fiscal stimulus.

And finally, further fiscal stimulus could become necessary if recessionary forces take hold.

No, he uses them to make permanent the tax credits in the fiscal stimulus: rebates and subsidies tilted to the working poor.

President Obama's economists promised not to repeat the mistakes of 1937, when F. D. R. pulled back fiscal stimulus too soon.

What package of fiscal stimulus would be most effective?

Another positive sign is the emphasis on infrastructure spending in many of the national fiscal stimulus packages.

Failure to do so will significantly reduce any positive impact from a fiscal stimulus.

Fiscal stimulus packages, though helpful, are not timely enough and suffer the usual free rider problems.

Now the rest of the world is talking about fiscal stimulus, and China is charging ahead.

It eschewed any meaningful fiscal stimulus in recession so now has less to do to control the deficit.

The robust performance was driven by the government's fiscal stimulus measures to counter the effects of the global financial crisis.

With the economy still listing, he added, a temporary extension can provide a quick fiscal stimulus.

The trick will be to reconcile tax reform with the need to withdraw fiscal stimulus as the economy recovers and to balance the budget.

Recession and aggressive fiscal stimulus have hugely swollen the federal deficit.

The comments will embarrass Brown, who has been at pains to insist that other countries were adopting his "fiscal stimulus" plans.

But it urged China to gradually phase out fiscal-stimulus spending in 2011 if the current growth trajectory is maintained.

Governments worldwide embraced fiscal stimulus with gusto.

The country has tried fiscal stimulus. It pioneered quantitative easing. Yet still the outlook remains dark.

On January 2nd India announced its second monetary and fiscal stimulus package within a month, but the extra spending is tiny.

On the positive side, Eurozone economic activity is currently still being supported by low interest rates and some fiscal stimulus measures.

Simple: keep monetary policy loose, and provide fiscal stimulus if conditions permit.

If emerging countries had strong fiscal positions and strong external positions, they could adopt fiscal stimulus.

Others worry that America's fiscal stimulus may cause trouble by inflating demand for commodities.

But I believe that we should follow in taxation the examples of what we did in banking policy and fiscal stimulus last autumn.

Right now everyone sees the need for a large, pan-European fiscal stimulus.

The U. S. launched a $787 billion fiscal-stimulus package last month.

Uruguay is charged a premium of only five percentage points, and can thus more easily afford a fiscal stimulus.

In this sense, the monetary and fiscal stimulus applied by the authorities worked.

His call for a global fiscal stimulus in January 2008, for instance, now seems prescient.

So the fiscal stimulus package is directed mainly at the inner regions and rural economies.

One path that is likely to prove counterproductive is further fiscal stimulus in the form of tax rebates.

Will a fiscal stimulus provide a significant boost to output and employment, or will it have little effect?

EU taxpayers' money for new roads, railways and other modernisation provided a fiscal stimulus at the right time.

Some analysts expect a double-dip recession, with growth fading again after a short-lived boost from the fiscal stimulus around midyear.

And it ended up financing cheap mortgages in the U. S. before the crash and the big Obama fiscal stimulus after the crash.

The Fed chairman refused to issue a judgment on the Obama administration's $787 billion fiscal stimulus package.

It will probably need to be supplemented by a fiscal stimulus.

Denmark has become a pioneer among developed countries by considering a new fiscal stimulus package.

Mr Obama's advisers would still like to couple short-term fiscal stimulus with longer-term tightening.

These vulnerabilities raise the need for well-designed and adequately funded fiscal stimulus programs in many of MENA counties.

China isn't alone in using a fiscal stimulus to boost domestic companies over foreign interests.

If the West continues to sputter, what happens when Asia's fiscal stimulus and restocking fade?

Economists say that a $62 billion fiscal-stimulus package the new government consists largely of pork-barrel public-works project spending.

The concerns stem from the global financial crisis, when China used its banks to dole out fiscal stimulus.

The $5, 000bn fiscal stimulus figure is far from the discretionary stimulus sought by the US and the IMF.

Will the Obama administration's fiscal stimulus turn output and employment around?

A second problem is that, unlike China, the Indian government has little room for a fiscal stimulus.

And, he added, there is the delayed, but still expected, fiscal stimulus package from Washington.

Without monetary and fiscal stimulus the US economy would still be languishing in the doldrums.

Both Brussels and Beijing have rolled out their own fiscal stimulus package to support domestic growth.

Fiscal-stimulus schemes impose a cost on all taxpayers, even those well placed to endure a downturn.

The debate on the need for further fiscal stimulus or quicker retrenchment has become too ideological, and too extreme.

Certainly, in Germany, the recent history of fiscal stimulus wasn't entirely positive.

The opposition, the Democratic party of Japan, opposes fiscal stimulus.

Federal fiscal stimulus seems set to continue to fade but likely not so quickly as to derail growth in coming quarters.

Mr Greenspan's comments came as President Barack Obama signed into law the $787bn fiscal stimulus in Denver, Colorado.

After some gentle fiscal stimulus, these countries are on track for strong growth next year.

So we need a fiscal stimulus big enough to close a 7% output gap.

This model exhibits the typical Keynesian result whereby a fiscal stimulus permanently raises the level of output.

It is not clear that a withdrawal of fiscal stimulus would - or even could - be adequately offset by monetary policy.

President Barack Obama has passed the largest peace time fiscal stimulus in US history.

Mr Bernanke told Congress that a well-designed and swiftly implemented fiscal stimulus "could be helpful" .

This would be helpful, he thinks, because it would create the budget room to pass a new fiscal stimulus.

Goldman Sachs economists expect fiscal stimulus will continue to boost annualized growth by two percentage points in the first half of 2010.

So far the government has prevaricated about the need for continued fiscal stimulus.

I am not the champion of fiscal stimulus but the champion of right fiscal policy ". "

Look at the current US debate over a second fiscal stimulus.