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How do conservatives typically view the use of monetary policy for economic stabilization?
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They favor using monetary policy as a means for economic stability.
What is the primary focus of fiscal policy?
Government spending and taxation.
How might libertarians view extensive government programs?
They oppose extensive government programs as they advocate for minimal intervention.
What does conservative ideology prioritize for achieving economic growth?
Supporting businesses, reducing business regulations, and lowering taxes.
How does liberal ideology view government intervention in the economy?
It favors significant government intervention to stabilize the economy, supported by Keynesian economics.
What are some tools of monetary policy mentioned in the lecture?
Buying/selling government bonds, setting reserve requirements, and adjusting interest rates.
What key economic theory supports conservative ideas on economic policy?
Supply-Side Economics.
What differentiates fiscal policy from monetary policy in terms of management?
Fiscal policy is managed by Congress, while monetary policy is managed by the Federal Reserve.
Which entity is responsible for managing monetary policy in the United States?
The Federal Reserve (The Fed).
Which political ideology advocates for minimal government intervention and supports protecting property rights and free trade?
Libertarian Ideology.
According to liberal ideology, what is a suitable government response during economic downturns?
Increased government spending, as advocated by Keynesian economics.
What is a common criticism conservatives have about liberal economic policies?
That they involve excessive government intervention which can hinder market solutions.
What economic policies were implemented during Roosevelt’s presidency that align with liberal ideology?
Federal work programs and the introduction of social security.
What ideological perspective often emphasizes the importance of regulation and government spending for economic stabilization?
Liberal Ideology.
Why do liberals see monetary policy as less effective for immediate economic needs?
They consider monetary policy too slow for immediate economic impact.
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