Macroeconomics/Related Articles

Glossary

(For definitions not shown below, see the economics glossary [1])

• Automatic stabilisers [r]: the tendency in times of falling economic activity for the government spending to rise, and for tax receipts to fall - and the reverse tendency in times of rising economic activity ^[e]
• Credit crunch [r]: the failure of the banking system to satisfy the economy's need for credit. ^[e]
• Deflation [r]: a persistent sequence of reductions in the general level of prices. ^[e]
• Fiscal stimulus [r]: a reduction in taxation for the purpose of raising economic output, or an increase in government spending for that purpose. ^[e]
• IS-LM model [r]: Model of simultaneous equilibrium in the product and money markets - shown graphically as two intersecting interest rate/spending graphs, one depicting the investment/savings (I/S) relation and the other the liquidity/money (L/M) supply relation (also known as the Hicks-Hansen model). ^[e]
• Output gap [r]: the percentage difference between the current value of the output of an economy, and that economy's normal output trend. ^[e]
• Quantitative easing [r]: Add brief definition or description
• Supply-side measures [r]: measures taken with the purpose of increasing a country's economic efficiency, e.g. by removing barriers to competition or counter market failures. ^[e]