Article Review Example | Topics and Well Written Essays - 250 words - 8

Review - word ExampleAlthough the rates are low, the plan is continued to be criticized for its failure to maintain or draw out the GDP and worsen the fiscal outcomes.The plan was only seen to raise the economic level at its initial stages of launch when the GDP increased by 8.3% in 2013-14 as compared to2010-11. It seems that the Prime Minister is trying to guide this plan which not according to the opinions of the fiscal indemnity makers however very much harm it might be causing to the economic development. The government should apply fiscal policy to come out of the economic problems its currently facing and the efforts to correct the situation without consideration of the fiscal policy will lead to the financial statement that discretionary fiscal policy is unnecessary. The fiscal policy is supposed to be sustainable and cyclic with adjustments to offset the economic situations.Like it had been experienced, criticism like those from Keynesians had brought back the economy to its recovery in the 1980 when the retail wrong inflation was seen to peak at 21.9%. This was reduced by the action of the bank which peaked its rate at 17%. By so doing, the rate of borrowing was raised hence only few volume could afford to borrow funds. This reduces the money supply in the market which further raises the value of money thus reducing the inflation level. The prime minister should not expect pecuniary policy to achieve much since the debt of the country only changed from over-indebted banks to the over-indebted household borrowing. What the government should do is to use direct monetary financing of as yet larger fiscal deficits as this is seen to be more effective and less damaging than using looser monetary policy. The prime Minister however do not want to use the monetary and the fiscal policy to change the economy and this has made the UK economy by six times weaker than it was