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What is mean by stabilization policy?
Taming the Business Cycle:
To decrease the severity of recessions policy efforts undertaken are termed as stabilization policy.
a. One form of stabilization policy is monetary policy, changes within the quantity of money or the interest rate.
b. The second form of stabilization policy is fiscal policy, changes within tax government or policy spending, or both.
Economic analysis is done from the viewpoint of society or economy as a whole. The evaluation is done from a wider angle not merely in financial terms. . In 1936, Flood Control Act
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