The government lowers the sales tax so people have more money to spend., Fiscal , Structural, Monetary, The central bank lowers interest rates so borrowing is cheaper and people spend more., Monetary, Fiscal, Structural, The government invests in education and training to improve workers’ skills., Structural , Monetary, Fiscal, The government makes it easier for small businesses to start and grow., Fiscal, Structural , Monetary, The central bank buys government bonds to put more money into the economy., Monetary, Fiscal, Structural, The government increases unemployment benefits during a recession to support household income., Structural, Fiscal, Monetary, The central bank raises reserve requirements for banks to reduce lending and control inflation., Monetary, Fiscal, Structural, The government develops infrastructure, such as transportation and energy systems, to increase productivity and competitiveness., Fiscal, Structural, Monetary, The government changes income taxes so the wealthy pay more, which helps fund schools, hospitals, and other public services., Fiscal, Monetary, Structural, The central bank buys or sells government bonds to control lending and influence the economy., Monetary, Fiscal, Structural.

Chapter 4

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