Expansionary fiscal policy isn't the only tool used to combat economic downturns. During some economic cycles, the monetary policy set by the Federal Reserve has been more effective. Here are some ...

ByGiancarlo CorsettiandGernot Mueller Sizeable resort to fiscal policy seems justified because ... confidence effects that can undermine the expansionary impact of the fiscal intervention.

An expansionary fiscal policy lowers tax rates or increases spending to increase aggregate demand and fuel economic growth. A contractionary fiscal policy raises rates or cuts spending to ...

Pill, Huw. "Fiscal Policy and the Case of Expansionary Fiscal Contraction in Ireland in the 1980s." Harvard Business School Background Note 705-015, December 2004. (Revised December 2004.) ...