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Can Fiscal Deficit And Government Expenditure Decrease Inflation? - Education - Nairaland

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Can Fiscal Deficit And Government Expenditure Decrease Inflation? by eROCK247(m): 4:04am On Sep 30, 2014
I'm a student of economics writing my project. In order to get a blueprint for my project work I met someone who was acclaimed to be very experienced in project writing.

However, the a priori expectations he is suggesting goes against economic theory. Using inflation as the dependent variable, he assigned negative signs to fiscal deficit and government expenditure(instruments of fiscal policy in controlling inflation). His reasons were that government can target specific sectors of the economy (industry for instance)that can reduce inflation by increasing supply.

As much as I appreciate his view, supply can only be variable in the long run and before that time lapse, demand would have increased due to the rise in income. So PLEASE, would it be rational to go by his suggestion.
Re: Can Fiscal Deficit And Government Expenditure Decrease Inflation? by Ralph30: 12:57pm On Jan 20, 2015
Cost push and demand pull are two types of inflation. this research show exactly how government fiscal policies have kept the economy.
Economics students writing project or thesis, economists in general, concerned citizens of Nigeria, read this
Effect of Fiscal Policy on Structural Inflation in Nigeria
click
http://uniprojectsearch.com/effect-fiscal-…lation-nigeria/

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