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Define the macroeconomic stability in market for promoting development.
Macroeconomic stability implies that:
• Tight fiscal policy that is balanced government budgets and decreased health and also education budgets. Public sector employees may be made jobless to make sure G=T
• Tight monetary policy to attain low inflation that raises the costs of borrowing to firms.
Analyse the effect of contraction phase to the vulnerable society
how does the effect of inflation affect the spending ability of fixed income earners
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