contractionary
(adjective)
Tending to reduce the size of the money supply.
Examples of contractionary in the following topics:
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Monetary Policy
- It is referred to as either being expansionary or contractionary.
- A contractionary policy expands the money supply more slowly than usual or even shrinks it.
- Contractionary policy is intended to slow inflation in hopes of avoiding the resulting distortions and deterioration of asset values.
- A policy is referred to as "contractionary" if it reduces the size of the money supply, increases the money supply slowly, or if it raises the interest rate.
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Monetary Policy
- It is referred to as either being expansionary or contractionary, where an expansionary policy increases the total supply of money in the economy more rapidly than usual, and contractionary policy expands the money supply more slowly than usual or even shrinks it.
- Contractionary policy is intended to slow inflation in hopes of avoiding the resulting distortions and deterioration of asset values.
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Fiscal Policy and Policy Making
- Contractionary fiscal policy, which occurs when government spending is lower than tax revenue, and is usually undertaken to pay down government debt .
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Fiscal Policy
- Contractionary fiscal policy occurs when government spending is lower than tax revenue, and is usually undertaken to pay down government debt.