Mankiw Economics Chap_32 中山大学吴柏林教授“曼昆·经济学原理”绝密资料.pptVIP

* * 25 * 34 * 39 * 18 * * * * 23 * 25 * * 28 * 30 * 31 * 33 * 34 * 34 * 38 * 38 * 39 * 39 * 39 * 39 * 40 * 41 * 41 * 42 * 42 * 45 * * * * * * * 18 The Crowding-Out Effect When the government increases its purchases by $20 billion, the aggregate demand for goods and services could rise by more or less than $20 billion, depending on whether the multiplier effect or the crowding-out effect is larger. Changes in Taxes When the government cuts personal income taxes, it increases households’ take-home pay. Households save some of this additional income. Households also spend some of it on consumer goods. Increased household spending shifts the aggregate-demand curve to the right. Changes in Taxes The size of the shift in aggregate demand resulting from a tax change is affected by the multiplier and crowding-out effects. It is also determined by the households’ perceptions about the permanency of the tax change. Using Policy to Stabilize the Economy Economic stabilization has been an explicit goal of U.S. policy since the Employment Act of 1946. The Case for Active Stabilization Policy The Employment Act has two implications: The government should avoid being the cause of economic fluctuations. The government should respond to changes in the private economy in order to stabilize aggregate demand. The Case Against Active Stabilization Policy Some economists argue that monetary and fiscal policy destabilizes the economy. Monetary and fiscal policy affect the economy with a substantial lag. They suggest the economy should be left to deal with the short-run fluctuations on its own. Automatic Stabilizers Automatic stabilizers are changes in fiscal policy that stimulate aggregate demand when the economy goes into a recession without policymakers having to take any deliberate action. Automatic stabilizers include the tax system and some forms of government spending. Summary Keynes proposed the theory of liquidity preference to explain determinants of the interest rate. According