Business Cycle Stabilization
Stabilization can refer to correcting the normal behavior of the business cycle. In this case the term generally refers to demand management by monetary and fiscal policy to reduce normal fluctuations and output, sometimes referred to as "keeping the economy on an even keel."
The policy changes in these circumstances are usually countercyclical, compensating for the predicted changes in employment and output, to increase short-run and medium run welfare.
Read more about this topic: Stabilization Policy
Famous quotes containing the words business and/or cycle:
“In the haunted house no quarter is given: in that respect
It’s very much business as usual. The reductive principle
Is no longer there, or isn’t enforced as much as before.”
—John Ashbery (b. 1927)
“Only mediocrities progress. An artist revolves in a cycle of masterpieces, the first of which is no less perfect than the last.”
—Oscar Wilde (1854–1900)