Question

suggest measures to overcome the economic crisis​

Answer 1

Answer:

Fiscal policy – When the government influences demand through changing spending or taxes.

Government investment in new infrastructure (e.g. New Deal in the 1930s) helps to stimulate demand and creates jobs.

Income tax cuts – increasing the disposable income of workers, encouraging them to spend.

Monetary policy – When Central Bank influences demand and supply of money.

Cutting interest rates – makes borrowing cheaper and should increase the disposable income of firms and households – leading to higher spending.

Quantitative easing – when Central Bank creates money and buys bonds to reduce bond yields and

Helicopter money – when the central bank creates (prints) money and gives it to everyone in the economy.

Supply-side policies – Long-term policies to try and improve productivity and efficiency in the economy.

Free market supply-side policies – reducing government intervention in the economy, e.g. lower taxes

Interventionist policies – government spending on education and training

IMF bailout – IMF give money to stem the loss of confidence and implement structural adjustment policies, e.g. better tax collection, privatisation, price liberalisation.

Government bailout of industries/banks. To prevent loss of confidence in financial sectors

HOPE IT HELPED U

Answer 2

the measures are the following

• improvement in plant load factor
• increase in production capacity
• effective control over transmission and distribution losses
• encourage private relization and FDI in power generation
• uses of renewable resources