a0 Fiscal PoLEy meAwURES THE GOVERNMENT Took To wERCOmE HGH : ___INTER EST RATE — There are fen measuroc “hat the government ak mt con _reserre. —__| he sfewnwarn rene! “he epuitibrium rmferest refer, such as , savings and. a ——_|epeming ._prorenting hysteresis public clot olovelopmente_and central bonk | aerets_parchares-since the _epsitcheitdy yo}eree) raf _has been increasing - because of covid-I9 , tho government Abbas fo take procoutions, ©o “the, — Sountry® econohy MOrse —#A__|__Te aixe_m ryeres} rater awe fo Ye buge governnen¢ spencling ond 1 borrowing whitch reduce the sunpluc in savings he stated in tte ar-fcle the | coWp-17 enra_ejartecl «ith sypply cmio_shack, where clue yo an unexpected ___| eveny on carer es ct a, rpg an 1 unforeseen charge, price, hen. Tt morphac) Yo he. cleman) crele eek | hock, = Ey = sorvnss x - We cw +t a A ol toctelown 2 jot of peeple cjprted % panic buyin which mokee phe somone! for | /s_mnerepso - ue el v1 x 2 fe he pryate, savicge. Tht 7 because geoph adwus} ther savings according the government budgey- therefere _ dye Yo cov)-19 the government buclooy has been _slefrif since ihore ore nerenes va the goverment spemfrg | which pespie mokes poopie 40 stort saving more as “here wil) be more ec te Hey ho flere cham the government borrowing . | Nerf meosures are preventing hysteresrs. Aysterems ™m yhe fern of j ——— ___| ecene mise i on event thot wit combnue Yo ext even afer he factone _ tha} tel fo fhof erent have been removed - Fer ay exampie , the Mre_ vernment har taken moosres ty etabitiziag 1m “he comes oy _ nel providing —cuppert fo ho firme Ih the short con. The Meosuros “hop ancl_provie | apo government took will offect the _equifbrum mje, oheh will prevent __ rc reat fron hoppening inthe fufure. ee = jystere aaa ‘Scanned with CamScannerother tan tho}, “he moosures thot the government fook to overcome ———— _|+the equiibrium rojo problem are ky pub Ge cob development Pebite debt development x ‘Ihe otal oufstanding debt ef 9 ceuniey’t conto! —|governmond. coVi0=19 crisir hos courer| addlifions/ pubte spehsling - so, 7. - order yp ftmnce he additional pubic. spending she government how. —| taken the _meosurec ty mrereasho the public fob{- A busget ofe-fret i ——_—— sh excess of gavomment orpenciifunps with respect fo fox revenues | for 9 parfreujah ihe perred , file budget eurplug wriFo who fer hevenyes exceed goverment Cxpenclyuree . The governm ph} muct f/nonce =the budget defer) gy borrowing , wheres! @ budge} surplue results 1) | 9 tower government qobt burden. fr _we can 00 an “he orfrele., Germagy hos annouced “fp merase “hein deb meurance by on odeltional «156 biffon and) NefheHard alse dedded fo increase their oob+ wWeyonce by Legs +p €65 fillioh. | The purchase ef cenyral tonk asco where the cenjra/ bank buys gevernmeh}t bonds on oher fmanaa) assets fr rayect money wo tke county te expand ecennme. acihiity which we refer fo os monetary poly Tht @vi0-19 cre created Apher demand for secured bench land pe, moheni{y higher _ritk premiuins on unsecured assets. Thir wilt | eracerbofe we persona) finance! srfueyen and thus he @mand fon __| aggregate clomory) . Theowgh tnx channel equilibrium r}erect rejes _| |_moy dechne , movity he Pcehomy Yoo new _eguiib um with lower i - ally. he eaniral_bank_refo%ns_meet_ef ifs govemment ees giates wll be, ven.sehve sb choage mn bend supply - The ie the cauce of the decfine in_inferes} rope.t - PRB PARED AY SHANA 87 _ANURR ona ‘Scanned with CamScanner